/raid1/www/Hosts/bankrupt/TCRLA_Public/071205.mbx
T R O U B L E D C O M P A N Y R E P O R T E R
L A T I N A M E R I C A
Wednesday, December 5, 2007, Vol. 8, Issue 241
Headlines
A R G E N T I N A
ALITALIA SPA: Ryanair Suing European Commission Over Volare Aid
BURBUJAS SAICF: Proofs of Claim Verification Ends Feb. 22, 2008
COLBI SRL: Proofs of Claim Verification Deadline Is Feb. 12
COMERCIAL MENDOZA: Creditors Voting on Debt Plan on Feb. 15
CONT-COR SRL: Trustee Verifies Proofs of Claim Until March 17
CUSTODIOS SRL: Proofs of Claim Verification Deadline Is Feb. 27
DANA CORP: Active Claims Drop to 55,000 at September
DANA CORP: Claimants Set to Appeal US$2-Million Settlement
DOSGOR CONSTRUCCIONES: Proofs of Claim Verification Is on Feb. 5
LOGISTICA Y TRANSPORTE: Seeks for Reorganization Okay from Court
LOS MIRASOLES: Proofs of Claim Verification Ends Feb. 21, 2008
MILENIUM SALUD: Proofs of Claim Verification Is Until March 17
TELECOM PERSONAL: Alcatel-Lucent Deploys Contact Center Software
TENNECO INC: Closes Tender Offer for 10-1/4% Sr. Secured Notes
UNION BUREAU: Trustee Verifies Proofs of Claim Until Feb. 14
VALMAX SRL: Proofs of Claim Verification Ends on Dec. 20
* ARGENTINA: Environmentalists Keep Protest Against Botnia Plant
B A H A M A S
ISLE OF CAPRI: Earns US$24.6 Million in Quarter Ended Oct. 28
B E R M U D A
AIG PORTFOLIO: Sets Final Shareholders Meeting for Dec. 31
ECLECTIC AUSTRALIA: Proofs of Claim Filing Ends on Dec. 17
ECLECTIC AUSTRALIA: Sets Final Shareholders Meeting for Dec. 28
HER FUND: Proofs of Claim Filing Deadline Is Dec. 18
HER FUND: Will Hold Final Shareholders Meeting on Jan. 10, 2008
MINERVA INVESTMENTS: Holds Final Shareholders Meeting on Dec. 28
QPASS BERMUDA: Proofs of Claim Filing Deadline Is Dec. 12
QPASS BERMUDA: Sets Final Shareholders Meeting for Dec. 28
SEA CONTAINERS: Marathon Discloses 10.7% Equity Stake
B O L I V I A
COEUR D'ALENE: Shareholders Special Meeting Adjourns to Dec. 7
B R A Z I L
AAR CORPORATION: Completes Summa Technology Acquisition
BANCO NACIONAL: Says Steel Exports To Exceed Domestic Sales
BROWN SHOE: Earns US$27 Million in Third Quarter Ended Nov. 3
DELPHI CORP: Seeks 3-Month Extension of Excl. Plan Filing Period
EL PASO: Files Federal Right of Way for Ruby Pipeline Project
FORD MOTOR: Overall November 2007 U.S. Sales Up 0.4 Percent
GENERAL MOTORS: Overall November 2007 U.S. Sales Down 11 Percent
JAPAN AIRLINES: To Launch First-Class Service on Nat'l Flights
SANYO ELECTRIC: To Invest JPY350 Billion to Revive Earnings
TAM SA: Inks Operational Code-Sharing Deal with Lufthansa
XERIUM TECH: Acquires Roll Covers Business for US$12 Million
* BRAZIL: Transpetro Inks Oil Transport Contracts with Maua
C A Y M A N I S L A N D S
BEAR STEARNS: Westbrook, et al. Support Chapter 15 Denial
BEAR STEARNS: Samuel Cohen Sues Company Directors & Officers
BEAR STEARNS: Navigator Says Supreme Court Should Hear Complaint
BEAR STEARNS: Former Co-President W. Spector Gets US$23,000,000
GSCP GF: Proofs of Claim Filing Deadline Is Dec. 14
HIBIYA SEVEN: Proofs of Claim Filing Ends on Dec. 14
HIBIYA SEVEN LTD: Proofs of Claim Filing Deadline Is Dec. 14
MASTR CI-3: Proofs of Claim Filing Is Until Dec. 14
MBF NO.2: Proofs of Claim Filing Is Until Dec. 14
QGPC FINANCE: Proofs of Claim Filing Deadline Is Dec. 14
RETAIL BUSINESS: Proofs of Claim Filing Ends on Dec. 14
ROBECO CDO: Proofs of Claim Filing Deadline Is Dec. 14
SABOTEN HOLDINGS: Proofs of Claim Filing Is Until Dec. 14
SENBON ASSET: Proofs of Claim Filing Is Until Dec. 14
C H I L E
AES CORP: Somerset Seeks Judge's Disqualification in Lawsuit
ANIXTER INT'L: Has Up to 1 Mil. Shares Under Repurchase Program
BUCYRUS INT'L: New World to Buy Ten Longwall Systems from Unit
FOSTER WHEELER: Chilean Unit Bags Contract from UTE CT
C O L O M B I A
ECOPETROL: Will Sell 9.9% Stake
C O S T A R I C A
* COSTA RICA: China Prospecting for Oil
* COSTA RICA: To Reach US$1.4 Billion in Fuel Bill
E C U A D O R
PETROECUADOR: President Hands Control to Navy Officials
PETROECUADOR: Ends Demonstrations in Orellana
G U A T E M A L A
AFFILIATED COMPUTER: Fitch Affirms BB- Rating on Secured Notes
J A M A I C A
AIR JAMAICA: Government Will Sell Airline
M E X I C O
ARROW ELECTRONICS: Expects Revenue To Rise 28% in Fourth Quarter
BEARINGPOINT INC: Board Hires Ed Harbach as President & CEO
CHRYSLER LLC: Invests US$48 Mil. to Support New Dodge Production
CHRYSLER LLC: Overall November 2007 U.S. Sales Down 2 Percent
COINSTAR INC: Moody's Withdraws Ratings After Debt Refinancing
GENERAL MOTORS: Mexican Unit Launches First Hybrid Vehicle
GRUPO MEXICO: May Close Three Mines Due to Protests
ICONIX BRAND: Adds Four New Executives to Senior Management Team
MAZDA MOTOR: North America/Canada Sales Drop 1.0% for Nov. 2007
MAZDA MOTOR: Posts 7.6% Boost in Global Output for October 2007
QUAKER FABRIC: Can Reject Unexpired Leases Under Gordon Pact
N I C A R A G U A
XEROX CORP: Doug Lord & Kevin Warren Joins Sr. Management Team
P A R A G U A Y
ALCATEL-LUCENT: Deploys Contact Center Software for Telecom
P E R U
GOODYEAR TIRE: James Firestone Joins Board of Directors
P U E R T O R I C O
AFC ENTERPRISES: Frank Belatti Retires as Board's Chairperson
APARTMENT INVESTMENT: Declares Dividends on Preferred Stock
CENTENNIAL COMM: Names Michael Coltrane as New Director on Board
EDS CORP: Completes US$420-Million Buyout of Saber Corp.'s Stake
PILGRIM'S PRIDE: Declares US$2.25 Per Share Quarterly Dividend
U R U G U A Y
* URUGUAY: Reprts Cash Tender Offer for 10 International Bonds
V E N E Z U E L A
* VENEZUELA: Bonds & Shares Surge as Voters Reject Reforms
- - - - -
=================
A R G E N T I N A
=================
ALITALIA SPA: Ryanair Suing European Commission Over Volare Aid
---------------------------------------------------------------
Ryanair is suing the European Commission for failing to act on
its complaint against state aid given to Volare S.p.A., a unit
of Alitalia S.p.A., Jonathan Saul of Reuters reports.
"The Italian government's recurring attempts to protect Italian
aviation include the bailout of Volare and its subsequent
transfer to Alitalia," Ryanair CEO Michael O'Leary was quoted by
Reuters.
"The write-off of some EUR20 million of airport debts is a
blatant abuse of EU state aid rules, yet the Commission has
refused to do anything about this since 2005," Mr. O'Leary
added.
Ryanair added it has no choice but to challenge the Commission's
inaction by lodging a case with the European Court of First
Instance.
As reported in the TCR-Europe on Nov. 27, 2007, Ryanair has
filed a case against the European Commission in the European
Court for the latter's inaction on complaints against
approximately EUR500 million in illegal state aid continually
given to Olympic Airlines S.A.
Ryanair has also hit the Commission's inaction on state aids
given to Deutsche Lufthansa AG and Air France-KLM.
About Alitalia
Headquartered in Rome, Italy, Alitalia S.p.A. --
http://www.alitalia.it/-- provides air travel services for
passengers and air transport of cargo on national, international
and inter-continental routes. The Italian government owns 49.9%
of Alitalia. The company has operations in Argentina.
Despite a EUR1.4 billion state-backed restructuring in 1997,
Alitalia posted net losses of EUR256 million and EUR907 million
in 2000 and 2001 respectively. Alitalia posted EUR93 million in
net profits in 2002 after a EUR1.4 billion capital injection.
The carrier booked annual net losses of EUR520 million in 2003,
EUR813 million in 2004, EUR168 million in 2005, and
EUR625.6 million in 2006.
Italian Transport Minister Alessandro Bianchi has warned that
Alitalia may file for bankruptcy if the current attempt to sell
the government's 49.9% stake fails.
BURBUJAS SAICF: Proofs of Claim Verification Ends Feb. 22, 2008
---------------------------------------------------------------
Alfonso Enzo Michielin, the court-appointed trustee for Burbujas
S.A.I.C.F. y A.'s bankruptcy proceeding, verifies creditors'
proofs of claim until Feb. 22, 2008.
Mr. Michielin will present the validated claims in court as
individual reports on April 24, 2008. The National Commercial
Court of First Instance in Lomas de Zamora, 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 Burbujas 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 Burbujas' accounting
and banking records will be submitted in court on May 30, 2008.
Mr. Michielin is also in charge of administering Burbujas'
assets under court supervision and will take part in their
disposal to the extent established by law.
The debtor can be reached at:
Burbujas S.A.I.C.F. y A.
Vicente Lopez 241
Monte Grande, Partido de Esteban Echeverria
Buenos Aires, Argentina
The trustee can be reached at:
Alfonso Enzo Michielin
Mentruyt 1062, Banfield, Partido de Lomas de Zamora
Buenos Aires, Argentina
COLBI SRL: Proofs of Claim Verification Deadline Is Feb. 12
-----------------------------------------------------------
Carolina Mariel Perez, the court-appointed trustee for Colbi
S.R.L.'s bankruptcy proceeding, verifies creditors' proofs of
claim until Feb. 12, 2008.
Ms. Perez will present the validated claims in court as
individual reports on March 28, 2008. The National Commercial
Court of First Instance in Mar del 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 Colbi 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 Colbi's accounting
and banking records will be submitted in court on May 13, 2008.
Ms. Perez is also in charge of administering Colbi's assets
under court supervision and will take part in their disposal to
the extent established by law.
The debtor can be reached at:
Colbi S.R.L.
San Juan 2686, Mar del Plata
Buenos Aires, Argentina
The trustee can be reached at:
Carolina Mariel Perez
Mitre 1245, Mar del Plata
Buenos Aires, Argentina
COMERCIAL MENDOZA: Creditors Voting on Debt Plan on Feb. 15
-----------------------------------------------------------
Comercial Mendoza S.A.'s creditors will vote on a settlement
plan that the company will lay on the table on Feb. 15, 2008.
The court-appointed trustee for Comercial Mendoza's
reorganization proceeding verified creditors' proofs of claim.
The trustee presented the validated claims in court as
individual reports and also submitted a general report
containing an audit of Comercial Mendoza's accounting and
banking records.
The debtor can be reached at:
Comercial Mendoza S.A.
Mendoza 4147
Buenos Aires
CONT-COR SRL: Trustee Verifies Proofs of Claim Until March 17
-------------------------------------------------------------
Alicia Ema Bisio, the court-appointed trustee for Cont-Cor
S.R.L.'s reorganization proceeding, verifies creditors' proofs
of claim until March 17, 2008.
Ms. Bisio will present the validated claims in court as
individual reports on April 30, 2008. The National Commercial
Court of First Instance in Quilmes, 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 Cont-Cor 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 Cont-Cor's accounting
and banking records will be submitted in court on June 13, 2008.
Creditors will vote to ratify the completed settlement plan
during the assembly on Dec. 9, 2008.
The debtor can be reached at:
Cont-Cor S.R.L.
Luis Maria Campos 1500
Bernal, Partido de Quilmes,
Buenos Aires, Argentina
The trustee can be reached at:
Alicia Ema Bisio
Marconi 1967
Quilmes, Buenos Aires
CUSTODIOS SRL: Proofs of Claim Verification Deadline Is Feb. 27
---------------------------------------------------------------
Marta Estela Acuna, the court-appointed trustee for Custodios
S.R.L.'s bankruptcy proceeding, verifies creditors' proofs of
claim until Feb. 27, 2008.
Ms. Acuna will present the validated claims in court as
individual reports. The National Commercial Court of First
Instance in Buenos Aires will determine if the verified claims
are admissible, taking into account the trustee's opinion, and
the objections and challenges that will be raised by Custodios
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 Custodios' accounting
and banking records will be submitted in court.
Infobae didn't state the reports submission deadlines.
Ms. Acuna is also in charge of administering Custodios' assets
under court supervision and will take part in their disposal to
the extent established by law.
The trustee can be reached at:
Marta Estela Acuna
Combate de los Pozos 129
Buenos Aires, Argentina
DANA CORP: Active Claims Drop to 55,000 at September
----------------------------------------------------
Dana Corp. had about 55,000 active pending asbestos-related
product liability claims at Sept. 30, 2007, according to the
Company's quarterly report filed with the U.S. Securities and
Exchange Commission on Nov. 7, 2007.
These 55,000 claims include about 6,000 claims that were settled
but awaiting final documentation and payment.
The Company had about 72,000 active pending asbestos-related
product liability claims at June 30, 2007, including about 6,000
claims that were settled but awaiting final documentation and
payment. (Class Action Reporter, Aug. 31, 2007)
The number of active pending claims was reduced as tort reform
and other initiatives in the State of Mississippi resulted in
the dismissal of 17,000 claims.
On Oct. 26, 2007, the Company filed a motion with the Bankruptcy
Court seeking approval to resolve an additional 7,500 pending
cases. The estimated total payments for these settlements, if
all claimants are able to submit the required proof to support
their claims, would be about US$2 million.
The Company had accrued US$138 million for indemnity and defense
costs for pending and future claims at Sept. 30, 2007.
Before 2006, the Company reached agreements with some of its
insurers to commute policies covering asbestos-related product
liability claims. There were no commutations of insurance in the
first three quarters of 2007.
At Sept. 30, 2007, the Company's liability for future demands
under prior commutations was US$11 million, bringing its total
recorded liability for asbestos-related product liability claims
to US$149 million.
At Sept. 30, 2007, the Company had recorded US$71 million as an
asset for probable recovery from its insurers for pending and
projected asbestos-related product liability claims.
In addition, the Company had a net amount recoverable from its
insurers and others of US$17 million at Sept. 30, 2007.
Under the Plan of Reorganization, the Debtors propose that their
asbestos-related personal injury claims be reinstated upon
emergence and that the reorganized Debtors will defend, settle
and resolve such pending claims and future demands in the
ordinary course of business.
After the Center for Claims Resolution discontinued negotiating
shared settlements for asbestos claims for its member companies
in 2001, some former CCR members defaulted on the payment of
their shares of some settlements and some settling claimants
sought payment of the unpaid shares from other members of the
CCR at the time of the settlements, including the Company.
Through Sept. 30, 2007, the Company had paid US$47 million to
such claimants and collected US$29 million from its insurance
carriers with respect to these claims.
At Sept. 30, 2007, the Company had a net receivable of US$13
million for the amount that it expects to recover from available
insurance and surety bonds relating to these claims.
Headquartered in Toledo, Ohio, Dana Corporation --
http://www.dana.com/-- designs and manufactures products for
every major vehicle producer in the world, and supplies
drivetrain, chassis, structural, and engine technologies to
those companies. Dana employs 46,000 people in 28 countries.
Dana is focused on being an essential partner to automotive,
commercial, and off-highway vehicle customers, which
collectively produce more than 60 million vehicles annually.
Dana has facilities in China in the Asia-Pacific, Argentina in
the Latin-American regions and Italy in Europe.
The company and its affiliates filed for chapter 11 protection
on March 3, 2006 (Bankr. S.D.N.Y. Case No. 06-10354). As of
Aug. 31, 2007 the Debtors listed US$6,878,000,000 in total
assets and US$7,551,000,000 in total debts resulting in a total
shareholders' deficit of US$673,000,000.
Corinne Ball, Esq., and Richard H. Engman, Esq., at Jones Day,
in Manhattan and Heather Lennox, Esq., Jeffrey B. Ellman, Esq.,
Carl E. Black, Esq., and Ryan T. Routh, Esq., at Jones Day in
Cleveland, Ohio, represent the Debtors. Henry S. Miller at
Miller Buckfire & Co., LLC, serves as the Debtors' financial
advisor and investment banker. Ted Stenger from AlixPartners
serves as Dana's Chief Restructuring Officer.
Thomas Moers Mayer, Esq., at Kramer Levin Naftalis & Frankel
LLP, represents the Official Committee of Unsecured Creditors.
Fried, Frank, Harris, Shriver & Jacobson, LLP serves as counsel
to the Official Committee of Equity Security Holders. Stahl
Cowen Crowley, LLC serves as counsel to the Official Committee
of Non-Union Retirees.
The Debtors filed their Joint Plan of Reorganization on
Aug. 31, 2007. On Oct. 23, 2007, the Court approved the
adequacy of the Disclosure Statement explaining their Plan. The
Court has set Dec. 10, 2007, to consider confirmation of the
Plan.
DANA CORP: Claimants Set to Appeal US$2-Million Settlement
----------------------------------------------------------
The Ad Hoc Committee of Personal Injury Asbestos Claimants will
take an appeal to the U.S. District Court for the Southern
District of New York from the Bankruptcy Court's approval of
Dana Corp.'s request to settle 7,500 Asbestos personal injury
claims asserted by parties represented by tort attorneys Robert
Peirce & Associates; The Lanier Law Firm; Goldenberg, Miller,
Heller & Anotognoli; and Bevan & Associates.
Headquartered in Toledo, Ohio, Dana Corporation --
http://www.dana.com/-- designs and manufactures products for
every major vehicle producer in the world, and supplies
drivetrain, chassis, structural, and engine technologies to
those companies. Dana employs 46,000 people in 28 countries.
Dana is focused on being an essential partner to automotive,
commercial, and off-highway vehicle customers, which
collectively produce more than 60 million vehicles annually.
Dana has facilities in China in the Asia-Pacific, Argentina in
the Latin-American regions and Italy in Europe.
The company and its affiliates filed for chapter 11 protection
on March 3, 2006 (Bankr. S.D.N.Y. Case No. 06-10354). As of
Aug. 31, 2007 the Debtors listed US$6,878,000,000 in total
assets and US$7,551,000,000 in total debts resulting in a total
shareholders' deficit of US$673,000,000.
Corinne Ball, Esq., and Richard H. Engman, Esq., at Jones Day,
in Manhattan and Heather Lennox, Esq., Jeffrey B. Ellman, Esq.,
Carl E. Black, Esq., and Ryan T. Routh, Esq., at Jones Day in
Cleveland, Ohio, represent the Debtors. Henry S. Miller at
Miller Buckfire & Co., LLC, serves as the Debtors' financial
advisor and investment banker. Ted Stenger from AlixPartners
serves as Dana's Chief Restructuring Officer.
Thomas Moers Mayer, Esq., at Kramer Levin Naftalis & Frankel
LLP, represents the Official Committee of Unsecured Creditors.
Fried, Frank, Harris, Shriver & Jacobson, LLP serves as counsel
to the Official Committee of Equity Security Holders. Stahl
Cowen Crowley, LLC serves as counsel to the Official Committee
of Non-Union Retirees.
The Debtors filed their Joint Plan of Reorganization on
Aug. 31, 2007. On Oct. 23, 2007, the Court approved the
adequacy of the Disclosure Statement explaining their Plan. The
Court has set Dec. 10, 2007, to consider confirmation of the
Plan.
(Dana Corporation Bankruptcy News, Issue No. 62; Bankruptcy
Creditors' Service, Inc. 215-945-7000 FAX 215-945-7001)
DOSGOR CONSTRUCCIONES: Proofs of Claim Verification Is on Feb. 5
----------------------------------------------------------------
Pablo Ernesto Aguilar, the court-appointed trustee for Dosgor
Construcciones S.R.L.'s bankruptcy proceeding, verifies
creditors' proofs of claim until Feb. 5, 2008.
Mr. Aguilar will present the validated claims in court as
individual reports on March 19, 2008. 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 Dosgor 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 Dosgor
Construcciones' accounting and banking records will be submitted
in court on May 6, 2008.
Mr. Aguilar is also in charge of administering Dosgor
Construcciones' assets under court supervision and will take
part in their disposal to the extent established by law.
The trustee can be reached at:
Pablo Ernesto Aguilar
Hipolito Yrigoyen 1516
Buenos Aires, Argentina
LOGISTICA Y TRANSPORTE: Seeks for Reorganization Okay from Court
----------------------------------------------------------------
Logistica y Transporte S.A. has requested for reorganization
approval after failing to pay its liabilities.
The reorganization petition, once approved by the court, will
allow Logistica y Transporte to negotiate a settlement with its
creditors in order to avoid a straight liquidation.
The case is pending in the National Commercial Court of First
Instance in Buenos Aires.
The debtor can be reached at:
Logistica y Transporte S.A.
Parana 693
Buenos Aires, Argentina
LOS MIRASOLES: Proofs of Claim Verification Ends Feb. 21, 2008
--------------------------------------------------------------
Moises Gorelik, the court-appointed trustee for Los Mirasoles
S.R.L.'s bankruptcy proceeding, verifies creditors' proofs of
claim until Feb. 21, 2008.
Mr. Gorelik will present the validated claims in court as
individual reports. The National Commercial Court of First
Instance in Buenos Aires will determine if the verified claims
are admissible, taking into account the trustee's opinion, and
the objections and challenges that will be raised by Los
Mirasoles 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 Los Mirasoles'
accounting and banking records will be submitted in court.
Infobae didn't state the reports submission deadlines.
Mr. Gorelik is also in charge of administering Los Mirasoles'
assets under court supervision and will take part in their
disposal to the extent established by law.
The trustee can be reached at:
Moises Gorelik
Lavalle 1675
Buenos Aires, Argentina
MILENIUM SALUD: Proofs of Claim Verification Is Until March 17
--------------------------------------------------------------
Alberto Jose Rotenberg, the court-appointed trustee for Milenium
Salud S.A.'s bankruptcy proceeding, verifies creditors' proofs
of claim until March 17, 2008.
Mr. Rotenberg will present the validated claims in court as
individual reports. The National Commercial Court of First
Instance in Buenos Aires will determine if the verified claims
are admissible, taking into account the trustee's opinion, and
the objections and challenges that will be raised by Milenium
Salud 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 Milenium Salud's
accounting and banking records will be submitted in court.
Infobae didn't state the reports submission deadlines.
Mr. Rotenberg is also in charge of administering Milenium
Salud's assets under court supervision and will take part in
their disposal to the extent established by law.
The trustee can be reached at:
Alberto Jose Rotenberg
Avenida Cordoba 1336
Buenos Aires, Argentina
TELECOM PERSONAL: Alcatel-Lucent Deploys Contact Center Software
----------------------------------------------------------------
Telecom Personal has chosen Alcatel-Lucent to install an
Internet protocol contact center software, Alcatel-Lucent said
in a statement.
According to Alcatel-Lucent's statement, the software is based
on the firm's OmniPCX platform and OmniGenesys contact center.
It offers personalized communications for clients through:
-- 24-hour access,
-- short messaging service or E-mail interaction,
-- real time and historic custom statistics,
-- workforce forecast, and
-- voice portal services.
Business News Americas relates that the software also includes:
-- new Internet protocol telephony infrastructure,
-- Internet protocol phones, and
-- software for softphones.
"[Telecom] Personal Paraguay handles more than 1.3mn customer
transactions a month. It was important for us to find a
solution that would deliver faster linkage of people, processes
and resources for our more than 280 customer service
representatives to provide global service," Telecom Personal's
information technology manager Mario Bort told BNamericas.
About Alcatel-Lucent
Headquartered in Paris, France, Alcatel-Lucent (Euronext Paris
and NYSE: ALU) -- http://www.alcatel-lucent.com/-- provides
solutions that enable service providers, enterprises and
governments worldwide to deliver voice, data and video
communication services to end users. Alcatel-Lucent maintains
operations in 130 countries, including, Austria, Germany,
Hungary, Italy, Netherlands, Ireland, Canada, United States,
Costa Rica, Dominican Republic, El Salvador, Guatemala, Peru,
Venezuela, Indonesia, China, Australia, Brunei and Cambodia. On
Nov. 30, 2006, Alcatel and Lucent Technologies Inc. completed
their merger transaction, and began operations as a
communication solutions provider under the name Alcatel-Lucent
on Dec. 1, 2006.
About Telecom Personal
Telecom Personal is the wireless provider of Telecom Argentina
SA, providing services in Argentina and Paraguay over a GSM
network. The company has 7.7 million users, with an estimated
30% market share in Argentina and a customer mix of 66% prepaid
and 34% postpaid as of June 30, 2006.
* * *
As reported in the Troubled Company Reporter-Latin America on
Nov. 13, 2006, Fitch Ratings affirmed Telecom Personal SA's
foreign and local currency Issuer Default Rating at 'B', and the
senior unsecured at 'B/RR4', and revised the Rating Outlook of
the international scale IDRs to Positive from Stable.
Approximately US$200 million in debt is affected by the rating
action. Fitch has also upgraded the national scale rating of
Personal to 'A(arg)' from 'BBB+(arg)' with a stable rating
outlook.
TENNECO INC: Closes Tender Offer for 10-1/4% Sr. Secured Notes
--------------------------------------------------------------
Tenneco Inc. has completed its previously announced partial
tender offer and consent solicitation for its 10-1/4% Senior
Secured Notes due 2013.
As of midnight, New York City time, on Nov. 30, 2007, the
expiration date, holders of Notes had tendered approximately
US$474 million principal amount of Notes and the company
purchased US$230 million principal amount of such Notes, which
was the maximum amount of the offer, or 48.5% of the principal
amount of Notes tendered in the offer. The total purchase price
of the Notes was US$250 million, including US$20 million in
premiums. Holders whose Notes were accepted for purchase were
also paid accrued and unpaid interest on their purchased Notes
up to, but not including, the payment date.
Banc of America Securities LLC and Citigroup Global Markets,
Inc. served as dealer managers and solicitation agents in
connection with the tender offer and consent solicitation.
About Tenneco Inc.
Based in Lake Forest, Illinois, Tenneco Inc., (NYSE: TEN) --
http://www.tenneco.com/-- manufactures automotive ride and
emissions control products and systems for both the original
equipment market and aftermarket. Brands include Monroe(R),
Rancho(R), and Fric Rot ride control products and Walker(R) and
Gillet emission control products. The company has operations in
Argentina, Japan, and Germany, with its European operations
headquartered in Brussels, Belgium. The company has
approximately 19,000 employees worldwide.
* * *
As reported in the Troubled Company Reporter-Latin America on
Nov. 6, 2007, Fitch Ratings assigned a rating of 'BB-' to
Tenneco Inc.'s new senior unsecured notes due 2015. The new
notes replace a portion of the company's existing US$475 million
in 10.25% senior secured second-lien notes for which the company
is tendering. Fitch said the rating outlook is positive.
UNION BUREAU: Trustee Verifies Proofs of Claim Until Feb. 14
------------------------------------------------------------
Alberto Rafael Bignami, the court-appointed trustee for Union
Bureau Senior S.A.'s reorganization proceeding, verifies
creditors' proofs of claim until Feb. 14, 2008.
Mr. Bignami will present the validated claims in court as
individual reports on March 27, 2008. The National Commercial
Court of First Instance in Mar del 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 Union Bureau 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 Union Bureau's
accounting and banking records will be submitted in court.
Infobae didn't state the general report-filing deadline.
The debtor can be reached at:
Union Bureau Senior S.A.
Alem 2902, Mar del Plata
Buenos Aires, Argentina
The trustee can be reached at:
Alberto Rafael Bignami
Rawson 3235, Mar del Plata
Buenos Aires, Argentina
VALMAX SRL: Proofs of Claim Verification Ends on Dec. 20
--------------------------------------------------------
Mariana Nadales, the court-appointed trustee for Valmax S.R.L.'s
bankruptcy proceeding, verifies creditors' proofs of claim until
Dec. 20, 2007.
Ms. Nadales will present the validated claims in court as
individual reports on March 5, 2008. 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 Valmax 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 Valmax's accounting
and banking records will be submitted in court on
April 18, 2008.
Ms. Nadales is also in charge of administering Valmax's assets
under court supervision and will take part in their disposal to
the extent established by law.
The debtor can be reached at:
Valmax S.R.L.
Francisco Doblas 138
Buenos Aires, Argentina
The trustee can be reached at:
Mariana Nadales
Hipolito Yrigoyen 1349
Buenos Aires, Argentina
* ARGENTINA: Environmentalists Keep Protest Against Botnia Plant
----------------------------------------------------------------
Argentine environmentalists won't give up in their quest to
prevent a paper plant from operating along River Uruguay, Prensa
Latina reports.
While Oy Botnia was constructing the plant, Argentina and
Uruguay were disputing on its effect on the environment. The
project is the biggest in Uruguay's economic history. Argentina
asserts that the plant would engander the river habitat, while
Uruguya insists it won't.
The matter has been referred to the International Centre for
Settlement of Investment Disputes. Final resolution of the
conflict is still pending.
According to Prensa Latina, fifty activists tried to cross the
river but were prevented from crossing to avoid a confrontation
with Uruguyans on the opposite side.
* * *
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 A H A M A S
=============
ISLE OF CAPRI: Earns US$24.6 Million in Quarter Ended Oct. 28
-------------------------------------------------------------
Isle of Capri Casinos Inc. posted net income of US$24.6 million
on net sales of US$278.8 million for the three months ended
Oct. 28, 2007, compared to net income of US$9.6 million on net
sales of US$243.2 million for the same period in 2006.
Bernard Goldstein, chairman of the board and chief executive
officer commented, "In the second quarter, the Company recorded
a pre-tax charge of US$6.5 million related to costs previously
capitalized in connection with a proposed project in west
Harrison County, Mississippi, and proposed expansions in
Davenport, Iowa and Kansas City, Missouri, which negatively
impacted our results. We have also begun conducting a strategic
review of our existing portfolio and growth opportunities."
"In addition, our second quarter results were impacted by
significant non-recurring charges, including charges resulting
from the retirement of our 9% Senior Subordinated Notes as part
of the refinancing completed in July 2007. The refinancing
improved the flexibility of our balance sheet and is consistent
with our strategy to effectively lower our weighted average
interest rate."
President and Chief Operating Officer Virginia McDowell said,
"Our Company goal continues to be increased EBITDA through
margin improvement, and we have identified opportunities to
reduce spending at both the corporate and site levels as a
result of our focus on expense reduction and cost containment
measures."
"Although we continue to see improvements in operating results
at nearly all of our legacy properties, the isle casino at
Coventry continues to under perform. We are currently
streamlining our cost structures at Coventry and developing new
marketing programs, but we have also been negatively impacted by
recent legislative changes, including an increase in taxes and
the implementation of a smoking ban. As a result, we are
currently evaluating the returns on and realization of our
United Kingdom investments as a part of our strategic review
process. The process in the United Kingdom will be led by Donn
Mitchell, who was recently named Senior Vice President of UK
Operations."
Reflecting the impact of pre-opening expenses and write-offs,
total EBITDA for the second quarter of fiscal 2008 was US$37.6
million compared to US$38.3 million for the second quarter of
fiscal 2007. Property EBITDA from continuing operations for the
second quarter of fiscal 2008 increased 8.5% to US$55.2 million
compared to Property EBITDA from continuing operations of
US$50.9 million for the comparable quarter in fiscal 2007.
The results from operations for the second quarter of fiscal
2008 include US$6.5 million of charges primarily related to
costs previously capitalized in connection with a proposed
project in west Harrison County, Mississippi and the write-off
of construction projects in Davenport, Iowa and Kansas City,
Missouri. Additionally, in the second quarter of fiscal 2008,
the Company recognized an US$11.5 million loss from early
extinguishment of debt related to the retirement of the
company's 9% Senior Subordinated Notes on Aug. 29, 2007.
Combined, these items resulted in a US$10.8 million after-tax
impact on the quarterly results, or US$0.35 loss per diluted
share. The results from continuing operations for the second
quarter of fiscal 2007 include US$1.0 million of office
relocation costs and US$3.7 million of increased new development
costs compared to the second quarter of fiscal 2008. Combined,
these items resulted in US$2.8 million of after-tax impact on
the prior year quarterly results or US$0.09 loss per diluted
common share.
The company's Bossier City and Vicksburg properties are
reflected as discontinued operations for fiscal 2007 results.
Accordingly, the operating results for these properties are not
included in the net revenue, income and EBITDA from continuing
operations results. The sale of the Bossier City and Vicksburg
properties closed on July 31, 2006. Accordingly, the net
revenues, income and EBITDA for fiscal 2008 are comparable to
the net revenue, income and EBITDA from continuing operations
for fiscal 2007 because the company had no discontinued
operations in fiscal 2008.
Ms. McDowell commented, "On November 1st, we celebrated the
opening of the initial two lanes of the Biloxi Bay Bridge,
linking Ocean Springs and Biloxi. The East Biloxi casinos have
been relatively isolated since Hurricane Katrina, and the
reopening of the bridge provides a vital link to our customers
who reside to the east. We have introduced a variety of new
marketing programs designed to reintroduce our Biloxi property
to these customers, and to prepare for the full opening of the
bridge next spring, when Mississippi Department of
Transportation officials estimate that as many as 30,000
vehicles a day could travel the span when all lanes reopen."
"We also continue to improve our properties by adding quality
amenities that have been very well received by our customers.
In November, the isle casino and hotel at Waterloo opened a
10,000 square foot indoor pool with a bar and restaurant, as
well as an expanded deck designed to accommodate player parties
and group sales opportunities. In September, we also opened the
new and expanded Farraddays' Steakhouse in Black Hawk, Colorado
resulting in a significant increase in revenue per cover.
Relocating the restaurant has enabled the property to expand the
popular Calypso's buffet by 66 much needed seats, which are
expected to be available in late December."
Ms. McDowell concluded, "As we continue with the strategic
review of our current assets and growth opportunities, we also
continue to progress with the development of our strategic brand
portfolio, and hope to announce our plans by our fourth fiscal
quarter."
About Isle of Capri
Based in Biloxi, Mississippi and founded in 1992, Isle of Capri
Casinos Inc. (Nasdaq: ISLE) -- http://www.islecorp.com/-- owns
and operates casinos in Biloxi, Lula and Natchez, Mississippi;
Lake Charles, Louisiana; Bettendorf, Davenport, Marquette and
Waterloo, Iowa; Boonville, Caruthersville and Kansas City,
Missouri and a casino and harness track in Pompano Beach,
Florida. The company also operates and has a 57.0% ownership
interest in two casinos in Black Hawk, Colorado. Isle of Capri
Casinos' international gaming interests include a casino that it
operates in Freeport, Grand Bahama, a casino in Coventry,
England, and a two-thirds ownership interest in casinos in
Dudley and Wolverhampton, England.
* * *
As reported in the Troubled Company Reporter on June 21, 2007,
Standard & Poor's Ratings Services revised its rating outlook on
Isle of Capri Casinos Inc. to negative from stable. Ratings on
the company, including the 'BB-' corporate credit rating, were
affirmed.
=============
B E R M U D A
=============
AIG PORTFOLIO: Sets Final Shareholders Meeting for Dec. 31
----------------------------------------------------------
AIG Portfolio Diversification Fund Ltd. will hold its final
shareholders meeting on Dec. 31, 2007, at 9:30 a.m. at:
Messrs. Conyers Dill & Pearman
Clarendon House, 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.
ECLECTIC AUSTRALIA: Proofs of Claim Filing Ends on Dec. 17
----------------------------------------------------------
The Eclectic Australia Fund Limited's creditors are given until
Dec. 17, 2007, to prove their claims to Nicholas Hoskins, the
company's liquidator, or be excluded from receiving any
distribution or payment.
In their proofs of claim, creditors must indicate their full
names, addresses, the full particulars of their debts or claims,
and the names and addresses of their lawyers, if any.
The Eclectic Australia's shareholder decided on Nov. 14, 2007,
to place the company into voluntary liquidation under Bermuda's
Companies Act 1981.
The liquidator can be reached at:
Nicholas Hoskins
Wakefield Quin, Chancery Hall
52 Reid Street, Hamilton
Bermuda
ECLECTIC AUSTRALIA: Sets Final Shareholders Meeting for Dec. 28
---------------------------------------------------------------
The Eclectic Australia Fund Limited will hold its final
shareholders meeting on Dec. 28, 2007, at 10:00 a.m. at:
Wakefield Quin
Chancery Hall, 52 Reid 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.
HER FUND: Proofs of Claim Filing Deadline Is Dec. 18
----------------------------------------------------
Her Fund Ltd.'s creditors are given until Dec. 18, 2007, to
prove their claims to Jennifer Y. Fraser, the company's
liquidator, or be excluded from receiving any distribution or
payment.
In their proofs of claim, creditors must indicate their full
names, addresses, the full particulars of their debts or claims,
and the names and addresses of their lawyers, if any.
Her Fund's shareholders agreed on Nov. 28, 2007, to place the
company into voluntary liquidation under Bermuda's Companies Act
1981.
The liquidator can be reached at:
Jennifer Y. Fraser
Canon's Court
22 Victoria Street
Hamilton, Bermuda
HER FUND: Will Hold Final Shareholders Meeting on Jan. 10, 2008
---------------------------------------------------------------
Her Fund Ltd. will hold its final shareholders meeting on
Jan. 10, 2008, at 9:00 a.m. at:
Canon's Court
22 Victoria 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.
MINERVA INVESTMENTS: Holds Final Shareholders Meeting on Dec. 28
----------------------------------------------------------------
Minerva Investments Ltd. will hold its final shareholders
meeting on Dec. 28, 2007, at 9:30 a.m. at:
Messrs. Conyers Dill & Pearman
Clarendon House, 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.
QPASS BERMUDA: Proofs of Claim Filing Deadline Is Dec. 12
---------------------------------------------------------
Qpass Bermuda Limited's creditors are given until Dec. 12, 2007,
to prove their claims to Brett Hatch, 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.
Qpass Bermuda's shareholder decided on Nov. 23, 2007, to place
the company into voluntary liquidation under Bermuda's Companies
Act 1981.
The liquidator can be reached at:
Brett Hatch
Conyers Dill & Pearman, Liquidation Department
Clarendon House, Church Street
Hamilton, HM DX, Bermuda
QPASS BERMUDA: Sets Final Shareholders Meeting for Dec. 28
----------------------------------------------------------
Qpass Bermuda Limited will hold its final shareholders meeting
on Dec. 28, 2007, at 9:30 a.m. at:
Messrs. Conyers Dill & Pearman
Clarendon House, 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.
SEA CONTAINERS: Marathon Discloses 10.7% Equity Stake
-----------------------------------------------------
Marathon Asset Management LLC disclosed in a regulatory filing
with the U.S. Securities and Exchange Commission dated
Nov. 16, 2007, that it beneficially owns 2,790,000 shares of
Class A Common Stock of Sea Containers Ltd.
The 2,790,000 shares, par value US$0.01 per share, are held by
Marathon Special Opportunity Master Fund, Ltd.
Marathon Asset serves as the investment manager of the Fund
pursuant to an Investment Management Agreement. In its capacity
as investment manager of the Fund, Marathon Asset has sole power
to vote and direct the disposition of all Class A Common Shares
held by the Fund.
Thus, for the purposes of Reg. Section 240.13d-3, Marathon Asset
is deemed to beneficially own 2,790,000 shares, or 10.7% of the
deemed issued and outstanding Sea Containers Class A Common
Shares as of Nov. 16, 2007. Marathon Asset's interest in the
securities is limited to the extent of its pecuniary interest in
the Fund, if any.
About Sea Containers
Headquartered in Hamilton, Bermuda, Sea Containers Ltd. --
http://www.seacontainers.com/-- provides passenger and freight
transport and marine container leasing. Registered in Bermuda,
the company has regional operating offices in London, Genoa, New
York, Rio de Janeiro, Sydney, and Singapore. The company is
owned almost entirely by United States shareholders and its
primary listing is on the New York Stock Exchange (SCRA and
SCRB) since 1974. On Oct. 3, the company's common shares and
senior notes were suspended from trading on the NYSE and NYSE
Arca after the company's failure to file its 2005 annual report
on Form 10-K and its quarterly reports on Form 10-Q during 2006
with the U.S. Securities and Exchange Commission.
Through its GNER subsidiary, Sea Containers Passenger Transport
operates Britain's fastest railway, the Great North Eastern
Railway, linking England and Scotland. It also conducts ferry
operations, serving Finland and Estonia as well as a commuter
service between New York and New Jersey in the U.S.
Sea Containers Ltd. and two subsidiaries filed for chapter 11
protection on Oct. 15, 2006 (Bankr. D. Del. Case No. 06-11156).
Edmon L. Morton, Esq., Edwin J. Harron, Esq., Robert S. Brady,
Esq., Sean Matthew Beach, Esq., and Sean T. Greecher, Esq., at
Young, Conaway, Stargatt & Taylor, represent the Debtors in
their restructuring efforts.
The Official Committee of Unsecured Creditors and the Financial
Members Sub-Committee of the Official Committee of Unsecured
Creditors of Sea Containers Ltd. is represented by William H.
Sudell, Jr., Esq., and Thomas F. Driscoll, Esq., at Morris,
Nichols, Arsht & Tunnell LLP. Sea Containers Services, Ltd.'s
Official Committee of Unsecured Creditors is represented by
attorneys at Willkie Farr & Gallagher LLP. In its schedules
filed with the Court, Sea Containers disclosed total assets of
US$62,400,718 and total liabilities of US$1,545,384,083. The
Debtors' exclusive period to file a chapter 11 plan expires on
Dec 21, 2007. (Sea Containers Bankruptcy News, Issue No. 31;
Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)
=============
B O L I V I A
=============
COEUR D'ALENE: Shareholders Special Meeting Adjourns to Dec. 7
--------------------------------------------------------------
Coeur d'Alene Mines Corporation has adjourned its special
meeting of shareholders to vote on the amendment of its charter
and the issuance of its shares in connection with its proposed
acquisition of Bolnisi Gold NL and Palmarejo Silver and Gold
Corporation to Dec. 7, 2007 at 4:00 p.m. local time. Coeur has
received overwhelming support for the proposals related to the
acquisition with in excess of 91% of the votes submitted having
voted in favor. Proxies are continuing to be received and votes
representing an additional 1.7% of the outstanding shares are
needed to enable the matters to be put to a vote at the meeting.
The adjournment will allow Coeur to receive the necessary
additional proxies.
The company noted that three leading proxy advisory firms --
Institutional Shareholder Services, Glass Lewis and PROXY
Governance -- recommended that Coeur shareholders vote "FOR" the
proposed acquisitions.
The meeting location has not been changed and will take place at
The Coeur d'Alene Resort and Conference Center, Second Street
and Front Avenue, Coeur d'Alene, Idaho. The record date for
shareholders entitled to vote at the meeting remains
Oct. 19, 2007.
Shareholders who have questions about the merger or need
assistance in submitting their proxy or voting their shares
should call toll-free at (800) 901-0068 or (collect) at
(212) 269-5550.
Coeur d'Alene Mines Corp. (NYSE:CDE) (TSX:CDM) --
http://www.coeur.com/-- is the world's largest primary silver
producer, as well as a significant, low-cost producer of gold.
The company has mining interests in Nevada, Idaho, Alaska,
Argentina, Chile, Bolivia and Australia.
* * *
Coeur d'Alene Mines Corp.'s US$180 Million notes due
Jan. 15, 2024, carry Standard & Poor's B- rating.
===========
B R A Z I L
===========
AAR CORPORATION: Completes Summa Technology Acquisition
-------------------------------------------------------
AAR CORP. has completed the acquisition of Summa Technology,
Inc., a provider of high-end sub-systems and precision
machining, fabrication, welding and engineering services. The
acquisition builds upon AAR's wide range of capabilities and
extends the company's portfolio of manufactured products and
engineering services.
"We are excited about this strategic combination, which further
strengthens AAR's competitive position in the market for
aerospace and defense products and services," said AAR CORP
Chairperson and Chief Executive Officer, David P. Storch.
"Summa joins us with a solid management team, excellent long-
term customer relationships and diverse manufacturing
capabilities that are well-aligned to growth opportunities in
our markets."
Summa participates in a variety of high-priority aerospace and
defense programs, which include munitions supply, military and
business jets, tactical missile platforms, military vehicles and
space launch vehicles. Many of these programs, such as Joint
Strike Fighter, Expeditionary Fighting Vehicle and ARES Launch
Vehicle are very long-term programs.
Summa provides a growth platform for AAR's complex machining and
heavy fabrication business and will operate as a part of the
company's Structures and Systems segment. The business will
continue to be led by its current Chief Operating Officer,
Stephen Werner.
About Summa
Founded in 1987, Summa Technology Inc. -- http://www.summa.com-
- is headquartered in Huntsville, Alabama, strategically near
Redstone Arsenal, an increasingly important Army installation
that is home to the U.S. Army's Aviation and Missile Command
(AMCOM), NASA Marshall Space Flight Center and major civilian
contractors. Summa has additional facilities in Cullman,
Alabama and Lebanon, Kentucky, totaling over 420,000 square feet
of manufacturing space with approximately 450 employees.
About AAR Corp.
AAR Corp. (NYSE: AIR) -- http://www.aarcorp.com/-- provides
products and value-added services to the worldwide
aviation/aerospace industry. With facilities and sales
locations around the world, AAR uses its close-to-the-customer
business model to serve airline and defense customers through
Aviation Supply Chain; Maintenance, Repair and Overhaul;
Structures and Systems and Aircraft Sales and Leasing. In Asia
Pacific, the company has offices in Singapore, China, Japan and
Australia. In Latin America, the company has a sales office in
Rio de Janeiro, Brazil.
* * *
As reported on Oct. 18, 2006, Standard & Poor's Ratings Services
upgraded AAR Corp.'s corporate credit rating from 'BB-' to 'BB'.
S&P said the outlook is stable.
As reported on Dec. 5, 2006, that Moody's upgraded AAR's
corporate family rating and senior notes to Ba3 from B1, in
response to improving financial performance resulting from the
strong commercial and defense aviation supply and repair
environment. Moody's said the ratings outlook is stable.
BANCO NACIONAL: Says Steel Exports To Exceed Domestic Sales
-----------------------------------------------------------
Banco Nacional de Desenvolvimento Economico e Social SA told
reporters that Brazil's steel sales abroad would surpass the
sales within the nation, with the balance of the country's steel
sales likely "to flip from 60% to the internal market and 40%
for export to the opposite ratio in the next eight years."
Banco Nacional commented to the press that the switch to having
larger percentage of Brazil's steel output exported than sold
domestically will be due to planned projects for increasing
sales abroad.
Business News Americas relates that major projects being planned
include those of:
-- Vale,
-- ThyssenKrupp, and
-- Baosteel.
Banco Nacional told BNamericas that it wants to help increase
Brazil's steel production with US$7.7 billion in funding up to
2015, about 35% of the total investment in the steel sector
expected for that period.
Brazil's steel production in October 2007 rose 23.3% to 1.81
million tons, from October 2006. Local steel institute IBS said
that local steel sales in October 2007 increased 22.9% to 1.08
million tons, compared to October 2006. Exports, however,
declined 30.1% to 666,200 tons, BNamericas states.
Banco Nacional de Desenvolvimento Economico e Social is Brazil's
national development bank. It provides financing for projects
within Brazil and plays a major role in the privatization
programs undertaken by the federal government.
* * *
Banco Nacional currently carries a Ba2 foreign long-term bank
deposit rating from Moody's, and a BB+ long-term foreign issuer
credit rating from Standards and Poor's. The ratings were
assigned in August and May 2007, respectively.
BROWN SHOE: Earns US$27 Million in Third Quarter Ended Nov. 3
-------------------------------------------------------------
Brown Shoe Company Inc. reported net earnings of US$27 million
for the third quarter of fiscal 2007 ended Nov. 3, 2007, versus
net earnings of US$26.9 million in the prior-year period.
Inventory at Nov. 3, 2007 was US$441 million, as compared to
US$434 million last year. The company's debt-to-capital ratio
at the end of the quarter was 20.2%, compared to 25.4% at the
same time last year.
At Nov. 3, 2007, the company's balance sheet showed total assets
of US$1.12 million, total liabilities of US$528,160 and total
shareholders equity of US$592,211.
Strategic Initiatives Update
Costs during the quarter related to the company's earnings
enhancement plan were better than expected, as the company
incurred costs of US$4.5 million on a pre-tax basis, or after-
tax costs of US$2.9 million in the quarter, most of which were
attributable to the relocation of the Shoes.com administrative
offices from Los Angeles to St. Louis.
The company works on other initiatives related to this
plan. Estimates of costs and benefits remain as:
-- in 2007, after-tax implementation costs are estimated to
be approximately US$11 million, while the company expects
to realize after-tax benefits of US$10 to US$12 million;
-- in 2008, after-tax implementation costs are estimated to
be approximately US$8 million and annual after-tax
benefits upon completion in late 2008 is estimated to be
US$17 to US$20 million.
About Brown Shoe Company
Headquartered in St. Louis, Missouri, Brown Shoe Company Inc.
(NYSE:BWS) -- http://www.brownshoe.com/-- is a US$2.4 billion
footwear company with global operations including Brazil, Italy,
China, Hong Kong, and Taiwan. Brown Shoe's Retail division
operates Famous Footwear, the 1,000-store chain that sells brand
name shoes for the family, approximately 300 specialty retail
stores in the U.S. and Canada under the Naturalizer, FX LaSalle,
and Franco Sarto names, and Shoes.com, the company's e-commerce
subsidiary. Brown Shoe, through its wholesale divisions, owns
and markets footwear brands including Naturalizer, LifeStride,
Via Spiga, Nickels Soft, Connie and Buster Brown; it also
markets licensed brands including Franco Sarto, Dr. Scholl's,
Etienne Aigner, and Carlos by Carlos Santana and Barbie, Disney
and Nickelodeon character footwear for children.
* * *
On April 2007, Moody's Investors Service changed the outlook of
Brown Shoe Company, Inc., to positive from stable and affirmed
its Ba3 corporate family rating on the company.
Moody's Investor Services placed Brown Shoe Company Inc.'s
probability of default rating at 'Ba3' in September 2006. The
rating still hold to date with a positive outlook.
DELPHI CORP: Seeks 3-Month Extension of Excl. Plan Filing Period
----------------------------------------------------------------
Delphi Corporation and its debtor affiliates and subsidiaries
ask the U.S. Bankruptcy Court for the Southern District of New
York to further extend their exclusive periods to:
(a) file a plan of reorganization through and including
March 31, 2008; and
(b) solicit acceptance of that plan through and including
May 31, 2008.
The Debtors' current Exclusive Plan Proposal Period will expire
on Dec. 31, 2007.
"A further extension of the Exclusive Periods is justified by
the significant progress the Debtors have made toward
reorganization since they last sought an extension of the
Exclusive Periods," John Wm. Butler, Jr., Esq., at Skadden,
Arps, Slate, Meagher & Flom LLP, in Chicago, Illinois, asserts.
The Debtors' good-faith progress towards reorganization,
according to Mr. Butler, is most convincingly demonstrated by
the filing of the Joint Plan of Reorganization and Disclosure
Statement on Sept. 6, 2007. The Plan and Disclosure Statement
were the products of a series of intense negotiations involving
the Debtors, the Plan Investors led by Appaloosa Management
L.P., the Statutory Committees, and General Motors Corp., Mr.
Butler avers.
As a result of the turbulence in the capital markets, however,
the Debtors were required to negotiate potential amendments to
the Plan and Disclosure Statement with certain stakeholders,
Mr. Butler relates. Nonetheless, the Plan provides for full
payment at Plan value to creditors and a distribution for equity
holders, he notes. "All of these negotiated amendments
represent the Debtors' continuing efforts to emerge from Chapter
11 protection as quickly as possible so that they can maximize
value for all their stakeholders," Mr. Butler assures the Court.
In addition to the significant progress toward confirming a
plan, Mr. Butler points out that that the Debtors have
substantially achieved the goals of their transformation plan
by, among other things, negotiating amended collective
bargaining agreements with their labor unions and comprehensive
settlement and restructuring agreements with GM; continuing to
divest non-core assets and businesses; and obtaining the second
of two pension funding waivers from the Internal Revenue
Service.
The unresolved contingencies relating to fully committed exit
financing, solicitation, and confirmation of the Plan, as well
as the size and complexity of the Debtors' cases also justify a
further extension of the Exclusive Periods, Mr. Butler adds.
"The size and complexity of the Debtors' chapter 11 cases alone
constitute sufficient cause to extend the Exclusive Periods," he
asserts.
Accordingly, the Debtors seek an extension of the Exclusive
Periods to give them sufficient time to complete the Plan
solicitation and confirmation processes in a timeframe that will
allow them to emerge from bankruptcy in the first quarter of
2008.
The Debtors are not using their Exclusive Periods to pressure
stakeholders to submit to their reorganization demands,
Mr. Butler clarifies. The Debtors, he explains, are actively
utilizing the Periods to resolve remaining issues in good faith
with their diverse constituencies. In addition, the Debtors'
request is without prejudice to any party's right to request a
termination of exclusivity for cause at any time under Section
1121(d) of the Bankruptcy Code.
The Debtors said the requested extension was precautionary. The
Debtors continue to expect that they will emerge from Chapter 11
during the first quarter of 2008.
The Detroit News notes that Delphi, in November 2007, said if
its plan isn't in place by Dec. 31, it could owe the U.S.
Internal Revenue Service US$1,400,000,000, when the waiver on
funding of the auto-parts supplier's pension obligations expires
and would compel the company to pay taxes and penalties to the
IRS. The IRS, according to the report, could extend the waiver.
About Delphi Corp.
Headquartered in Troy, Michigan, Delphi Corporation (OTC: DPHIQ)
-- http://www.delphi.com/-- is the single supplier of vehicle
electronics, transportation components, integrated systems and
modules, and other electronic technology. The company's
technology and products are present in more than 75 million
vehicles on the road worldwide. Delphi has regional
headquarters in Japan, Brazil and France.
The company filed for chapter 11 protection on Oct. 8, 2005
(Bankr. S.D.N.Y. Lead Case No. 05-44481). John Wm. Butler Jr.,
Esq., John K. Lyons, Esq., and Ron E. Meisler, Esq., at Skadden,
Arps, Slate, Meagher & Flom LLP, represent the Debtors in their
restructuring efforts. Robert J. Rosenberg, Esq., Mitchell A.
Seider, Esq., and Mark A. Broude, Esq., at Latham & Watkins LLP,
represents the Official Committee of Unsecured Creditors. As of
March 31, 2007, the Debtors' balance sheet showed
US$11,446,000,000 in total assets and US$23,851,000,000 in total
debts.
The Debtors' exclusive plan-filing period expires on
Dec. 31, 2007. On Sept. 6, 2007, the Debtors filed their
Chapter 11 Plan of Reorganization and a Disclosure Statement
explaining that Plan. (Delphi Bankruptcy News, Issue No. 99;
Bankruptcy Creditors' Service Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)
EL PASO: Files Federal Right of Way for Ruby Pipeline Project
-------------------------------------------------------------
El Paso Corporation has filed a federal right of way application
with the United States Department of the Interior's Bureau of
Land Management for its Ruby Pipeline project -- a 680-mile,
42-inch natural gas transmission pipeline that begins at the
Opal Hub in Wyoming and terminates at the Malin, Oregon
interconnect near California's northern border. The Ruby
Project will have an initial capacity of 1.2 billion cubic feet
per day (Bcf/d) and is expandable to 2 Bcf/d. In addition, El
Paso announced that it is planning to partner in the project
with Bear Energy LP, a subsidiary of The Bear Stearns Companies
Inc. Partnering discussions include Bear Energy becoming an
initial shipper on the pipeline.
"The Ruby Pipeline connects Rocky Mountain natural gas producers
with one of the most attractive natural gas demand regions in
the country," said El Paso's Western Pipeline Group president,
Jim Cleary. "Ruby will provide natural gas users in northern
California, Nevada, and the Pacific Northwest with competitively
priced natural gas from the nation's most important growth
supply region."
"We are excited about working with El Paso on this project,"
said Bear Energy managing director, Jeff Rawls. "Given the
production growth from the prolific Rocky Mountain region and
the supply reliability objectives of the western U.S. states,
the Ruby Pipeline is the right solution."
El Paso is in discussions with other prospective shippers and
will announce a formal open season shortly. Subject to Federal
Energy Regulatory Commission and other regulatory approvals, and
after obtaining necessary customer commitments, the Ruby
Pipeline is anticipated to be in service in the first quarter of
2011.
About Bear Energy
Headquartered in Houston, Texas, Bear Energy --
http://www.bearenergy.com-- was founded in 2006 to provide
flexible, comprehensive energy solutions in the physical and
financial energy markets for clients across the energy value
chain. Bear Energy currently employs an experienced team of 220
energy professionals with expertise in natural gas, electricity,
coal, emissions and weather.
About El Paso Corp.
Headquartered in Houston, Texas, El Paso Corporation (NYSE: EP)
-- http://www.elpaso.com/-- is an energy company that provides
natural gas and related energy products. The company owns North
America's interstate pipeline system, which has approximately
55,500 miles of pipe. It also owns approximately 470 billion
cubic feet of storage capacity and a liquefied natural gas
import facility with 806 million cubic feet of daily base load
send out capacity. El Paso's exploration and production
business is focused on the exploration for and the acquisition,
development and production of natural gas, oil and natural gas
liquids in the United States, Brazil and Egypt. It operates in
three business segments: Pipelines, Exploration and Production
and Marketing. It also has a Power segment, which holds its
remaining interests in international power plants in Brazil,
Asia and Central America.
* * *
As reported in the Troubled Company Reporter-Latin America on
Nov. 20, 2007, Standard & Poor's Ratings Services has affirmed
its 'BB' corporate credit ratings on El Paso Corp. and
subsidiaries. S&P said the outlook remains positive.
FORD MOTOR: Overall November 2007 U.S. Sales Up 0.4 Percent
-----------------------------------------------------------
Continued growth in crossover sales and increased demand for
hybrids, fuel-efficient cars and Ford's industry-exclusive SYNC
in-car connectivity technology drove Ford Motor Company's sales
in November. Company sales totaled 182,951, up 0.4% versus a
year ago. November marked the first sales increase following 12
months of declines.
"It is encouraging to see our newest cars, crossovers, hybrids
and industry-first SNYC technology resonating with customers,"
Mark Fields, president, The Americas, said. "Continuing to
deliver more quality products that people really want and
carefully gauging customer demand in the months ahead will help
ensure we stay on track with our plan."
Consumer demand continues to grow for the all-new Ford Edge and
Lincoln MKX crossover utility vehicles. Edge sales were 12,594
and Lincoln MKX sales were 3,360. Total sales of crossover
utilities, including the redesigned Ford Escape, Ford Taurus X,
and Mercury Mariner were 33,271, up 119% compared with a year
ago. Escape Hybrid and Mariner Hybrid models set November sales
records.
Sales of the new 2008 Ford Focus were up 18% compared with a
year ago. Focus is one of 12 Ford, Lincoln and Mercury models
equipped with SYNC, an affordable, industry-exclusive in-car
connectivity technology that fully integrates most Bluetooth-
enabled cell phones and MP3 players into a customer's driving
experience.
"All of our SYNC-equipped models are turning quickly," Mr.
Fields said. "Affordable technology that integrates mobile
communication and entertainment devices appears to be resonating
with consumers. Beyond that, SYNC appears to be changing
opinions about Ford and elevating consideration for our products
and brands."
Ford Fusion and Mercury Milan also contributed to the company's
November sales increase. Fusion sales were up 39% and Milan
sales increased 43%.
Lincoln continued its winning streak in November as retail sales
climbed 4%. November marked the 14th straight month of higher
retail sales for the premium brand. Total Lincoln sales in
November were down 7%, reflecting lower fleet sales.
In November, Ford, Lincoln and Mercury sales to individual
retail customers were 3% lower than a year ago. Sales to daily
rental companies were down 6%, but sales to commercial fleet and
government customers were up 25%.
North American Production
In the first quarter of 2008, the company plans to produce
685,000 vehicles in North America. This is the initial forecast
of first quarter production. In the first quarter of 2007, the
company produced 740,000 vehicles. Fourth-quarter 2007
production is 645,000 units, unchanged from the previously
announced plan.
About Ford Motor
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-Latin America on
Nov. 19, 2007, Moody's Investors Service affirmed the long-term
ratings of Ford Motor Company (B3 Corporate Family Rating, Ba3
senior secured, Caa1 senior unsecured, and B3 probability of
default), but changed the rating outlook to Stable from Negative
and raised the company's Speculative Grade Liquidity rating to
SGL-1 from SGL-3. Moody's also affirmed Ford Motor Credit
Company's B1 senior unsecured rating, and changed the outlook to
Stable from Negative. These rating actions follow Ford's
announcement of the details of the newly ratified four-year
labor agreement with the UAW.
GENERAL MOTORS: Overall November 2007 U.S. Sales Down 11 Percent
----------------------------------------------------------------
After three consecutive monthly increases, General Motors Corp.
dealers in the United States delivered 263,654 vehicles in
November, down 11% compared with a year ago, reflecting
continuing reductions in daily rental sales and softening
industry demand.
GM's retail car deliveries increased, based on the strength of
the all-new Chevrolet Malibu, 2008 Cadillac CTS and fuel-
efficient Chevrolet Aveo, Cobalt, Pontiac G5 and G6.
"Integral to our strategy is to grow our share in the key car
segments," Mark LaNeve, GM North America vice president, Vehicle
Sales, Service and Marketing, said. "The retail performance,
especially from the new Chevrolet Malibu and Cadillac CTS,
demonstrates the enthusiasm customers have for these outstanding
new vehicles. The recognition of the 2008 CTS as Motor Trend's
Car of the Year reinforces what we are hearing from customers
about this phenomenal car. And, not to be outdone, the new
Malibu is flying off dealer lots."
There were several bright spots in retail deliveries, led by
brisk sales in the economy, small, mid and luxury car segments
and mid-utility crossovers. Chevrolet retail car sales were up
more than 15%, Cadillac retail car sales, driven by a 48%
increase in CTS sales, were up more than 13% and Pontiac retail
car sales were up more than 8%. Total retail deliveries were
down 9.7%, largely due to reduced availability of 2007 models
after a strong sell-down in September and October.
"The Malibu, CTS and Enclave have some of the fastest turn rates
in the industry," Mr. LaNeve added. "We've added production
capacity at our Orion Assembly plant for Malibu to keep up with
growing demand and dealer orders."
Together, GM's mid-utility crossovers (Buick Enclave, Saturn
OUTLOOK and GMC Acadia) sold nearly 13,000 vehicles at retail.
Saturn retail truck sales, driven by the OUTLOOK, were up more
than 35%. Chevrolet HHR retail sales were up 60%.
The Pontiac and GMC divisions showed retail sales increases.
GM continued to reduce sales to daily rental fleets, down more
than 14,000 vehicles, or almost 29% compared with a year ago.
Total fleet sales were down 16%.
Retail sales for the month, as a percentage of total sales,
showed an increase of more than one percentage point (to 74% of
total sales) compared with a year ago.
Vehicle inventories were down 97,000 vehicles compared with
year-ago levels and stood at about 993,000 vehicles at the end
of the month.
Certified Used Vehicle Sales
November 2007 sales for all certified GM brands, including GM
Certified Used Vehicles, Cadillac Certified Pre-Owned Vehicles,
Saturn Certified Pre-Owned Vehicles, Saab Certified Pre-Owned
Vehicles, and HUMMER Certified Pre-Owned Vehicles, were 37,946
vehicles, down nearly 11% from last November. Total year-to-
date certified GM sales are 479,946 vehicles, up 0.3% from the
same period last year.
GM Certified Used Vehicles, the industry's top-selling
manufacturer-certified used brand, posted 32,748 sales, down 10%
from last November. Year-to-date sales for GM Certified Used
Vehicles are 421,190 vehicles, up 2% from the same period in
2006.
Cadillac Certified Pre-Owned Vehicles posted November sales of
3,227 vehicles, down 9% from last November. Saturn Certified
Pre-Owned Vehicles sold 1,372 vehicles in November, up nearly
2%. Saab Certified Pre-Owned Vehicles sold 468 vehicles, down
54%, and HUMMER Certified Pre-Owned Vehicles sold 131 vehicles,
up 17%.
"While November was a challenging sales month for certified GM
brands, year-to-date GM Certified Used Vehicle sales are up 2%
through November and we're in a position to set a new industry
annual sales record for the manufacturer-certified category,"
Mr. LaNeve said.
About GM
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-Latin America on
Nov. 9, 2007, Moody's Investors Service affirmed its rating for
General Motors Corporation (B3 Corporate Family Rating, Ba3
senior secured, Caa1 senior unsecured and SGL-1 Speculative
Grade Liquidity rating) but changed the outlook to Stable from
Positive. In an environment of weakening prospects for US auto
sales GM has announced that it will take a non-cash charge of
US$39 billion for the third quarter of 2007 related to
establishing a valuation allowance against its deferred tax
assets (DTAs) in the US, Canada and Germany.
As reported in the Troubled Company Reporter on Oct. 23, 2007,
Standard & Poor's Ratings Services affirmed its 'B' corporate
credit rating and other ratings on General Motors Corp. and
removed them from CreditWatch with positive implications, where
they were placed Sept. 26, 2007, following agreement on the new
labor contract. The outlook is stable.
JAPAN AIRLINES: To Launch First-Class Service on Nat'l Flights
--------------------------------------------------------------
Japan Airlines International Co., Ltd., will be introducing a
new service on domestic flights to attract wealthy passengers in
the competitive domestic travel market, Yasufumi Kado of The
Asahi Shimbun reports.
JAL, according to the report, will launch the First-Class
service on Saturday between Tokyo's Haneda Airport and Osaka's
Itami Airport. It is the first company to set up first-class
seats on Japanese domestic routes.
The Tokyo-based airline expects to make an additional
JPY4 billion in annual revenue from the new service after
expanding it to flights between Haneda and Fukuoka and between
Haneda and New Chitose Airport near Sapporo next spring, relates
The Asahi Shimbun.
Seven of JAL's 15 round-trip flights between Haneda and Itami a
day will feature 14 first-class seats each, at an extra cost of
JPY8,000 per passenger, states Mr. Kado.
JAL official, Koji Tsuchiya, who developed the seats, claims it
will not be easy for rivals to come up with seats that offer the
same degree of comfort. The first-class seats are upholstered
with white leather, has a seat-to-seat space of about 130
centimeters between the rows, about 50 cms. wider than standard
seats and reclines at 27 degrees in the normal position to
provide greater comfort during take-offs and landings.
A JAL official in charge of product and service planning
revealed to The Asahi Shimbun that the most affluent customers
often chose rival All Nippon Airways Co., Ltd.'s Super Seat
Premium service, saying they are annoyed by voices of nearby
passengers. Along with this, a partition between the two seats
in a row is designed to better ensure privacy enabling
passengers to avoid the eyes of next-door passengers when the
seat is reclined.
A JAL survey of about 3,000 high-profile customers, mostly
corporate executives, found that an overwhelming majority want
comfortable seats that ensure privacy. The second-largest
number of respondents wanted in-flight meals at any time,
followed by those who wanted to use exclusive airport lounges.
Rival ANA, adds The Asahi Shimbun, in April, is scheduled to
start its Premium Class service in the first full-scale upgrade
of its top class seats in 23 years.
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.
* * *
As 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.
As 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.
SANYO ELECTRIC: To Invest JPY350 Billion to Revive Earnings
-----------------------------------------------------------
Sanyo Electric Co., Ltd., will invest JPY350 billion in its
operations to revive earnings growth, Hiroshi Suzuki of
Bloomberg News reports.
Of the total amount, which will be spent during the three years
starting April 1, Sanyo will invest JPY100 billion for
rechargeable lithium-ion batteries, used in devices including
mobile phones; JPY110 million on semiconductors, digital
products and appliances; JPY60 billion on electronic components
and JPY80 billion on solar-power batteries, relates Bloomberg.
The expansion, states Bloomberg, is aimed at increasing the
company's share of the US$4.5 billion battery market after it
exited unprofitable units like flat panels and prepares to sell
the mobile phone business.
After announcing Sanyo's three-year midterm plan, stocks surged
as much as 7.3% in the Nikkei 225 stock, while Sanyo's shares
rose 6.2% to JPY188 on the Tokyo Stock Exchange, adds the
report.
According to the report, Moody's Investors Service analyst
Shinsuke Tanimoto expressed before Sanyo's business plan
announcement that, "Focusing on areas the company is good at
would please investors. Sanyo's battery business is strong."
Sanyo reported a net income of JPY16 billion for the 6-month
ended September 30 of the current fiscal year as compared to a
loss of JPY3.62 billion the same period last year, notes
Bloomberg.
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.
TAM SA: Inks Operational Code-Sharing Deal with Lufthansa
---------------------------------------------------------
TAM S.A. and Lufthansa signed a contract on Dec. 1, to start an
operational code-sharing agreement on national and international
routes. TAM and Lufthansa's flight partnership is expected to
begin during the first half of 2008. Starting in February,
clients of both companies will be able to accumulate and
exchange points earned on TAM's Programa Fidelidade loyalty
program and miles with Lufthansa's Miles & More program on
flights operated by either company.
The code-sharing agreement will allow both companies to offer
more flight options to their passengers who travel between
Brazil and Germany. TAM's clients will be able to purchase
tickets on flights operated by Lufthansa, which depart from Sao
Paulo and arrive in Frankfurt and Munich (Germany). From
Frankfurt, connections will be available to other destinations
in Germany, such as Dusseldorf, Hamburg, and Stuttgart, as well
as Zurich and Geneva (Switzerland).
Lufthansa passengers will be able use the new TAM flight to
Frankfurt and, in Brazil, will be offered connections from Sao
Paulo to Rio de Janeiro, Porto Alegre, Curitiba, Belo Horizonte,
Brasilia, Recife, Florianopolis, Salvador and Foz do Iguacu.
The code-sharing will also cover TAM flights to other South
American destinations: Santiago (Chile), Buenos Aires
(Argentina) and Montevideo (Uruguay).
TAM began flights to Frankfurt, its fourth direct European
destination, on Nov. 30. The operation uses an Airbus A340-500,
with a carrying capacity of up to 267 passengers - 42 seats in
business class and 225 in economy. The first flight took off as
80% occupied and returned from Frankfurt on December 1 with 98%
of the seats filled.
TAM SA (Bovespa: TAMM4 and NYSE: TAM) -- http://www.tam.com.br/
-- operates regular flights to 47 destinations throughout
Brazil. It serves 72 different cities in the domestic market
through regional alliances. Additionally, it maintains code-
share agreements with international airline companies that allow
passengers to travel to a large number of destinations
throughout the world. TAM was the first Brazilian airline
company to launch a loyalty program. The program has over 3.3
million subscribers and has awarded more than 3.6 million
tickets.
* * *
As reported in the Troubled Company Reporter-Latin America on
Aug. 27, 2007, Standard & Poor's Ratings Services affirmed its
'BB' long-term corporate credit rating on Brazil-based airline
TAM S.A. S&P said the outlook is stable.
XERIUM TECH: Acquires Roll Covers Business for US$12 Million
------------------------------------------------------------
Xerium Technologies Inc. has acquired a privately held roll
covers business in China. Xerium acquired from IB Investments
Limited all of the equity of a Mauritius holding company that
owns 90% of a joint venture roll covering operation located in
Xian, China that operates under the Xibe brand name and a wholly
owned foreign-funded enterprise with a roll covers facility in
Changzhou, China. The total consideration for the acquisition
was approximately US$12 million and is subject to certain
adjustments. The acquired companies had aggregate net sales for
the first nine months of 2007 of approximately US$3.6 million.
Thomas Gutierrez, Xerium's President and Chief Executive
Officer, said, "China is one of the fastest growing paper and
board manufacturing markets in the world. We expect the Chinese
paper industry to continue to invest in some of the most
technically-advanced paper making equipment in the world and
thus, increase demand for our advanced roll covers technology
and value-added services. With this transaction, we are able to
accelerate our entry into this growing market. We believe that
Xerium can leverage its market leadership under the Stowe
Woodward brand name, taking full advantage of the recently-built
Changzhou facility and Xibe's reputation for providing the local
Chinese market with quality services and roll products, to
significantly build market share in the Chinese paper and board
market."
Headquartered in Wesborough, Massachusetts, Xerium Technologies,
Inc. -- http://xerium.com/-- manufactures and supplies two
types of products used primarily in the production of paper:
clothing and roll covers. The company operates under a variety
of brand names and owns a broad portfolio of patented and
proprietary technologies to provide customers with tailored
solutions and products, designed to optimize performance and
reduce operational costs. With 35 manufacturing facilities in
15 countries, including Austria, Brazil and Japan, Xerium
Technologies has approximately 3,900 employees.
* * *
Moody's Investors Service changed the outlook on Xerium
Technologies, Inc.'s ratings to negative from stable, and
affirmed the company's corporate family rating at B1. The
change in outlook to negative reflects Xerium's weaker than
expected operating performance primarily due to production
inefficiencies in North America and delays in achieving benefits
from cost reduction initiatives. Moody's believes the impact of
these issues, coupled with a difficult pricing environment for
roll covers and to a lesser extent clothing products, will
continue to negatively affect operating performance over the
intermediate term.
Affirmed ratings are:
* Corporate family rating; B1
* Guaranteed senior secured term loan B; B1
* Guaranteed senior secured revolving credit facility; B1
* BRAZIL: Transpetro Inks Oil Transport Contracts with Maua
-----------------------------------------------------------
Transpetro, the tranportation unit of Brazilian state-run oil
firm Petroleo Brasileiro SA aka Petrobras, has signed contracts
totaling US$277 million with local shipyard Maua for the
construction of vessels to transport oil products, Dow Jones
Newswires reports.
According Petrobras' press statement, the shipyard is near Rio
de Janeiro. It will construct four ships that can transport
54,000 cubic meters.
Dow Jones relates that the vessels would be incorporated into
Transpetro's fleet between 2010 and 2011. They are part of a
US$2.5-billion program to purchase 26 new oil vessels "in an
initial phase and revive Brazil's shipbuilding industry."
Petrobras will then increase the new oil vessels to 42, Dow
Jones states.
Headquartered in Rio de Janeiro, Brazil, Petroleo Brasileiro SA
aka Petrobras -- http://www2.petrobras.com.br/ingles/index.asp-
- was founded in 1953. The company explores, produces, refines,
transports, markets, distributes oil and natural gas and power
to various wholesale customers and retail distributors in
Brazil. Petrobras has operations in China, India, Japan, and
Singapore.
* * *
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
===========================
BEAR STEARNS: Westbrook, et al. Support Chapter 15 Denial
---------------------------------------------------------
Professor Jay Westbrook of the University of Texas, Professor
Kenneth Klee of the University of California Los Angeles, and
Daniel M. Glosband, Esq., at Goodwin Procter, LLP, in Boston,
Massachusetts, filed an amici curiae brief to assist the U.S.
District Court for the Southern District of New York in its
interpretation and application of Chapter 15 of the Bankruptcy
Code.
According to the amici curiae brief, Prof. Westbrook and Mr.
Glosband were part of the group that drafted the United Nations
Commission for International Trade Law Model Law on Cross-Border
Insolvency. They also served as primary draftsmen assisting the
Department of State and the U.S. Congress in drafting Chapter
15.
Prof. Klee, on the other hand, is one of the draftsmen of the
1978 revision of the United States Code. He also assisted in
drafting Chapter 15 and its presentation to the U.S. Congress.
Prof. Westbrook, et al., opine that the District Court should
affirm Judge Lifland's order denying recognition under Chapter
15 of the Bankruptcy Code of the liquidation proceedings of Bear
Stearns High-Grade Structured Credit Strategies Master Fund,
Ltd., and Bear Stearns High-Grade Structured Credit Strategies
Enhanced Leverage Master Fund, Ltd., in the Cayman Islands.
Prof. Westbrook, et al., explain that, in contrast to the dicta
in In re SPhinX, Ltd., Judge Lifland properly applied the
Chapter 15 eligibility criteria to the Recognition Motion filed
by Simon Lovell Clayton Whicker and Kristen Beighton, the joint
official liquidators and foreign representatives of the Bear
Stearns Funds. Judge Lifland determined on the record before
the Bankruptcy Court that the Foreign Debtors had neither their
"center of main interests" nor an "establishment" in the Cayman
Islands; and consequently denied recognition of the Foreign
Proceedings as either foreign "main" proceedings or foreign
"nonmain" proceedings.
Prof. Westbrook, et al., note that the Foreign Representatives,
in arguing for reversal of Judge Lifland's Order, attempt to
circumvent the strict eligibility criteria for Chapter 15
recognition by interpolating subjective factors -- comity and
flexibility -- into an objective standard and by stretching the
meaning of the terms "center of main interests" and
"establishment" to encompass facts that fall short of their
definitional requirements.
Prof. Westbrook, et al., also point out that the Foreign
Representatives did not offer evidence of any substantial
business activity by the Foreign Debtors in the Cayman Islands
but conceded that virtually all of the important activities of
the Bear Stearns Funds were carried out in New York.
On their Appeal, the Foreign Representatives attempt to
introduce new, through still insufficient, evidence to support
their assertions, Prof. Westbrook, et al., tell the District
Court. The Foreign Representatives could and should have been
prepared to address the evidentiary issues apparent on the face
of the statute when the Bankruptcy Court asked them to do so,
Prof. Westbrook, et al., relate. Their post-hoc attempt to
provide evidence is as procedurally invalid as it is
substantively inadequate, Prof. Westbrook, et al., state.
Prof. Westbrook, et al., note that the effect of recognition of
the Funds' Chapter 15 petition would be to void the U.S.
Congressional effort to limit the United States' cooperation to
countries with a real connection to the Debtors.
An injunction against lawsuits and collection efforts in the
U.S. and a turnover of U.S. assets to a Cayman Islands
proceeding would not only violate the Chapter 15 and UNCITRAL
statute, but would give that proceeding most of the relief
Congress has reserved for main bankruptcy proceedings, Prof.
Westbrook, et al., opine.
In addition, representatives from several countries with some
tenuous connection to a debtor might arrive in waves, each
demanding the same relief. Thus, the careful, orderly,
structured procedure adopted by the U.S. Congress would
degenerate into a struggle without rules or guidance for the
courts to follow, Prof. Westbrook, et al., say.
These concerns, according to Prof. Westbrook, et al., are
especially great where, in Bear Stearns' case, the debtors are
in fact American companies in every economic sense.
"These companies and dozens of others like them are at the
center of a growing economic storm in the United States. They
are also the center of an important public debate about the
desirability vel non of increased regulation or oversight of
subprime lending and of certain kinds of investments, especially
in the context of market imperfections," Prof. Westbrook, et
al., say.
"It is appropriate, even necessary, that their liquidation take
place in American courts, supervised by American judges, and
under the observation of American investors and financial media.
"New York is the center of the financial work and should be the
center of judicial management of the current crisis involving
United States funds."
* * *
The Bear Stearns Funds' Appeal will be heard by Judge Robert
Sweet of the District Court on Jan. 16, 2008.
About Bear Stearns Funds
Grand Cayman, Cayman Islands-based Bear Stearns High-Grade
Structured Credit Strategies Enhanced Leverage Master Fund Ltd.
and Bear Stearns High-Grade Structured Credit Strategies Master
Fund Ltd. are open-ended investment companies, which sought high
income and capital appreciation relative to the London Interbank
Offered Rate, and designed for long-term investors.
On July 30, 2007, the Funds filed winding up petitions under the
Companies Law (2007 Revision) of the Cayman Islands. Simon
Lovell Clayton Whicker and Kristen Beighton at KPMG were
appointed joint provisional liquidators. The joint liquidators
filed for Chapter 15 petitions before the U.S. Bankruptcy Court
for the Southern District of New York the next day. On
Aug. 30, 2007, the Honorable Burton R. Lifland denied the Funds
protection under Chapter 15 of the Bankruptcy Code.
Fred S. Hodara, Esq., Lisa G. Beckerman, Esq., and David F.
Staber, Esq., at Akin Gump Strauss Hauer & Feld LLP, represent
the liquidators in the United States. The Funds' assets and
debts are estimated to be more than US$100,000,000 each. (Bear
Stearns Funds Bankruptcy News; Bankruptcy Creditors' Service
Inc.; http://bankrupt.com/newsstand/or 215/945-7000)
BEAR STEARNS: Samuel Cohen Sues Company Directors & Officers
------------------------------------------------------------
Samuel T. Cohen, a shareholder of Bear Stearns Companies, Inc.,
has filed a derivative action on behalf of the company, against
certain of its officers and directors, including Chief Executive
Officer James Cayne, Chief Financial Officer Samuel Molinaro,
President Alan Schwartz, and former president Warren Spector, in
the U.S. District Court for the Southern District of New York.
Mr. Cohen seeks monetary damages as a result of the Directors
and Officers' breaches of fiduciary duties, abuse of control,
gross mismanagement and waste of corporate assets.
Mr. Cohen alleges that beginning March 2006, Bear Stearns, under
the D&Os' direction, recklessly spent billions of dollars
purchasing subprime loans to be used for future collateralized
debt obligations.
Mr. Cohen says the D&O failed to take appropriate reserves for
the large amount of CDOs in the company's portfolio, both on and
off the balance sheet, and the information was not disclosed to
investors.
Representing Mr. Cohen, David A.P. Brower, Esq., at Brower
Piven, APC, in New York, explains that CDOs are complex
financial instruments that combines slices of varying assets and
debts. Many CDOs are backed by subprime mortgages -- loans
given to customers with poor credit history. As those mortgages
have increasingly defaulted, banks are being forced to write
down the value of bonds and CDOs backed by the loans.
According to Mr. Brower, the D&Os actively concealed Bear
Stearns' failure to write down impaired securities containing
subprime debt. The D&Os directed Bear Stearns to issue false
and misleading statements regarding its business and financial
condition.
While the D&Os were directing Bear Stearns to issue improper
statements concerning its exposure to the subprime market
crisis, they were also directing the company to acquire a
subprime loan portfolio for US$1,200,000,000 from a troubled
subprime mortgage lending company, Mr. Brower says.
On Nov. 14, 2007, Bear Stearns said that it expects to write-
down US$1,200,000,000 of its assets linked to mortgage-related
investments in the fourth quarter of 2007. The US$1.2 billion
write-down, according to Mr. Brower, is equal to 9% of the
company's equity and will result in a net loss.
As a result of the announced write-down, Mr. Brower says Bear
Stearns' credibility with investors has been wiped out.
Mr. Brower also points out that Bear Stearns' value has declined
more than US$10,000,000,000 from its peak in February 2007. Its
quarterly net income for the period ended August 2007 sank 61%
to US$171,300,000, or US$1.16 a share, from the same period in
2006, and revenue fell to US$1,300,000,000 from
US$2,130,000,000 in 2006.
Aside from the monetary judgment, Mr. Cohen also asked the
District Court to take all necessary actions to reform and
improve its corporate governance and internal procedures to
protect its stakeholders from a repeat of the damaging events,
including, but not limited to, adopting these remedial measures:
(a) strengthening the Board of Directors' supervision and
oversight responsibilities and developing a system to
ensure the Board accurately manages the company's risk
potential;
(b) prohibiting an individual from concurrently serving as
chief executive officer and the chairman of the Board;
(c) allowing the company's shareholders to nominate at least
one candidate for election to the board; and
(d) a policy of ensuring the accuracy of the qualifications
of Bear Stearns' directors, executives and other
employees.
Bloomberg News reports that Bear Stearns spokeswoman Janet
Slater said in an e-mailed statement that Mr. Cohen's
allegations are without merit. She said Bear Stearns would
fight the lawsuit.
About Bear Stearns Funds
Grand Cayman, Cayman Islands-based Bear Stearns High-Grade
Structured Credit Strategies Enhanced Leverage Master Fund Ltd.
and Bear Stearns High-Grade Structured Credit Strategies Master
Fund Ltd. are open-ended investment companies, which sought high
income and capital appreciation relative to the London Interbank
Offered Rate, and designed for long-term investors.
On July 30, 2007, the Funds filed winding up petitions under the
Companies Law (2007 Revision) of the Cayman Islands. Simon
Lovell Clayton Whicker and Kristen Beighton at KPMG were
appointed joint provisional liquidators. The joint liquidators
filed for Chapter 15 petitions before the U.S. Bankruptcy Court
for the Southern District of New York the next day. On
Aug. 30, 2007, the Honorable Burton R. Lifland denied the Funds
protection under Chapter 15 of the Bankruptcy Code.
Fred S. Hodara, Esq., Lisa G. Beckerman, Esq., and David F.
Staber, Esq., at Akin Gump Strauss Hauer & Feld LLP, represent
the liquidators in the United States. The Funds' assets and
debts are estimated to be more than US$100,000,000 each. (Bear
Stearns Funds Bankruptcy News; Bankruptcy Creditors' Service
Inc.; http://bankrupt.com/newsstand/or 215/945-7000)
BEAR STEARNS: Navigator Says Supreme Court Should Hear Complaint
----------------------------------------------------------------
Navigator Capital Partners, L.P., filed a memorandum supporting
its argument that its class action complaint against the Bear
Stearns Entities -- Bear Stearns Asset Management, Bear, Stearns
Securities Corp., The Bear Stearns Companies, Inc., Bear,
Stearns & Co., Inc., Ralph Cioffi, Raymond McGarrigal, and
Matthew Tannin, and Bear Stearns High-Grade Structured Credit
Strategies, L.P., as nominal defendant -- should be adjudicated
in the New York Supreme Court.
Navigator asserts that it is undisputed that the Bear Stearns
Entities have the burden of convincing the U.S. District Court
for the Southern District of New York that the case has been
properly removed from the NY Supreme Court, and that they must
establish their right to a federal forum by competent proof.
Navigator maintains that the Bear Stearns Entities' removal was
improper under the U.S. Securities Litigation Uniform Standards
Act. The Bear Stearns Entities fail to identify a single
alleged misrepresentation or omission in connection with
purchases or sales of "covered securities" to support removal
under the SLUSA.
Instead, they point to the Master Fund's proportionately
miniscule "holdings" of covered securities and disingenuously
argue that these "holdings" are somehow "directly" connected to
the wrongdoing alleged in Navigator's Complaint, Andrew J.
Entwistle, Esq., at Entwistle & Cappucci, LLP, in New York,
notes.
Mr. Entwistle tells the District Court that Navigator's
Complaint makes plain that the alleged failures to disclose
simply have nothing to do with the handful of equity positions
held by the Master Fund.
The small equity positions are irrelevant and entirely
tangential to the claims in Navigator's Complaint, as the
disclosure failures all concern the Management Defendants'
mismanagement of the Partnership and their failure to adequately
assess, monitor and hedge the risks associated with non-covered
instruments like collateralized debt obligations exposed to the
sub-prime mortgage markets, Mr. Entwistle maintains.
In addition, Navigator asserts that, in attempting to support
their fallback argument for removal under the Class Action
Fairness Act of 2005, the Bear Stearns Entities merely retreat
from CAFA's plain language to the statute's putative
"legislative history."
Mr. Entwistle notes that the Bear Stearns Entities have not
stated any persuasive grounds for why the statutory exceptions
to CAFA jurisdiction in Section 1332(d)(9)(c) of the Judiciary
and Judicial Procedures Code does not apply to Navigator's
Complaint.
Failing to cite a single case supporting their unduly narrow
interpretation of Section 1332(d)(9)(c), the Bear Stearns
Entities instead rely exclusively on legislative history to
argue that the CAFA exception is inapplicable to Navigator's
fiduciary duty claims, Mr. Entwistle further notes. The Bear
Stearns Entities ignore the basic principles of statutory
construction and the clear weight of judicial authority holding
that the exception precludes CAFA jurisdiction over breach of
fiduciary duty cases.
For these reasons, Navigator maintains that the NY Supreme Court
should hear its Complaint.
In addition, Navigator asks the District Court to award it its
costs and attorneys' fees resulting from the Bear Stearns
Entities' improper removal of the Complaint.
About Bear Stearns Funds
Grand Cayman, Cayman Islands-based Bear Stearns High-Grade
Structured Credit Strategies Enhanced Leverage Master Fund Ltd.
and Bear Stearns High-Grade Structured Credit Strategies Master
Fund Ltd. are open-ended investment companies, which sought high
income and capital appreciation relative to the London Interbank
Offered Rate, and designed for long-term investors.
On July 30, 2007, the Funds filed winding up petitions under the
Companies Law (2007 Revision) of the Cayman Islands. Simon
Lovell Clayton Whicker and Kristen Beighton at KPMG were
appointed joint provisional liquidators. The joint liquidators
filed for Chapter 15 petitions before the U.S. Bankruptcy Court
for the Southern District of New York the next day. On
Aug. 30, 2007, the Honorable Burton R. Lifland denied the Funds
protection under Chapter 15 of the Bankruptcy Code.
Fred S. Hodara, Esq., Lisa G. Beckerman, Esq., and David F.
Staber, Esq., at Akin Gump Strauss Hauer & Feld LLP, represent
the liquidators in the United States. The Funds' assets and
debts are estimated to be more than US$100,000,000 each. (Bear
Stearns Funds Bankruptcy News; Bankruptcy Creditors' Service
Inc.; http://bankrupt.com/newsstand/or 215/945-7000)
BEAR STEARNS: Former Co-President W. Spector Gets US$23,000,000
---------------------------------------------------------------
Bear Stearns Cos. said its former co-President Warren Spector
will receive more than US$23,000,000 in capital accumulation
plan awards in December, Reuters reports.
Bloomberg News relates that, according to a separation
agreement, Mr. Spector will remain with Bear Stearns as a
managing director until Dec. 28, 2007, and continue to get paid
from his US$250,000 annual salary until that date.
Aside from the US$23,000,000 CAP Award, Mr. Spector will get a
US$207,761 retiree treatment from private equity "employee
funds" managed by Bear Stearns, Reuters says. Bloomberg says
Mr. Spector is also eligible for a year-end bonus that would be
pro-rated through the first seven months.
Mr. Spector will not receive a severance package, the Associated
Press says.
In the separation agreement, Bear Stearns said that Mr. Spector
was terminated without cause, Reuters relates. Mr. Spector
agreed not to "disparage or encourage or induce others to
disparage" Bear Stearns for at least a year after leaving.
Mr. Spector, whose responsibilities included Bear Stearns' asset
management division, resigned in August 2007 as the company's
co-president and co-chief operating officer, amidst the collapse
of two of its hedge funds which invested primarily on
collateralized debt obligations, which are backed by subprime
mortgages.
About Bear Stearns Funds
Grand Cayman, Cayman Islands-based Bear Stearns High-Grade
Structured Credit Strategies Enhanced Leverage Master Fund Ltd.
and Bear Stearns High-Grade Structured Credit Strategies Master
Fund Ltd. are open-ended investment companies, which sought high
income and capital appreciation relative to the London Interbank
Offered Rate, and designed for long-term investors.
On July 30, 2007, the Funds filed winding up petitions under the
Companies Law (2007 Revision) of the Cayman Islands. Simon
Lovell Clayton Whicker and Kristen Beighton at KPMG were
appointed joint provisional liquidators. The joint liquidators
filed for Chapter 15 petitions before the U.S. Bankruptcy Court
for the Southern District of New York the next day. On
Aug. 30, 2007, the Honorable Burton R. Lifland denied the Funds
protection under Chapter 15 of the Bankruptcy Code.
Fred S. Hodara, Esq., Lisa G. Beckerman, Esq., and David F.
Staber, Esq., at Akin Gump Strauss Hauer & Feld LLP, represent
the liquidators in the United States. The Funds' assets and
debts are estimated to be more than US$100,000,000 each. (Bear
Stearns Funds Bankruptcy News; Bankruptcy Creditors' Service
Inc.; http://bankrupt.com/newsstand/or 215/945-7000)
GSCP GF: Proofs of Claim Filing Deadline Is Dec. 14
---------------------------------------------------
GSCP GF II Limited's creditors are given until Dec. 14, 2007, to
prove their claims to Wendy Ebanks 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.
GSCP GF's shareholder decided on Oct. 25, 2007, to place the
company into voluntary liquidation under The Companies Law (2004
Revision) of the Cayman Islands.
The liquidators can be reached at:
Wendy Ebanks
Joshua Grant
Maples Finance Limited
P.O. Box 1093, George Town
Grand Cayman, Cayman Islands
HIBIYA SEVEN: Proofs of Claim Filing Ends on Dec. 14
----------------------------------------------------
Hibiya Seven Investment Ltd.'s creditors are given until
Dec. 14, 2007, to prove their claims to Jan Neveril 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.
Hibiya Seven's shareholders agreed on Nov. 1, 2007, to place the
company into voluntary liquidation under The Companies Law (2004
Revision) of the Cayman Islands.
The liquidators can be reached at:
Jan Neveril
Richard Gordon
Maples Finance Limited
P.O. Box 1093, George Town
Grand Cayman, Cayman Islands
HIBIYA SEVEN LTD: Proofs of Claim Filing Deadline Is Dec. 14
------------------------------------------------------------
Hibiya Seven Ltd.'s creditors are given until Dec. 14, 2007, to
prove their claims to Jan Neveril 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.
Hibiya Seven's shareholders agreed on Nov. 1, 2007, to place the
company into voluntary liquidation under The Companies Law (2004
Revision) of the Cayman Islands.
The liquidators can be reached at:
Jan Neveril
Richard Gordon
Maples Finance Limited
P.O. Box 1093, George Town
Grand Cayman, Cayman Islands
MASTR CI-3: Proofs of Claim Filing Is Until Dec. 14
---------------------------------------------------
MASTR CI-3's creditors are given until Dec. 14, 2007, to prove
their claims to Guy Major and Giles Kerley, 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.
MASTR CI-3's shareholders agreed on Oct. 24, 2007, to place the
company into voluntary liquidation under The Companies Law (2004
Revision) of the Cayman Islands.
The liquidators can be reached at:
Guy Major
Giles Kerley
Maples Finance Limited
P.O. Box 1093, George Town
Grand Cayman, Cayman Islands
MBF NO.2: Proofs of Claim Filing Is Until Dec. 14
-------------------------------------------------
MBF No.2 Inc.'s creditors are given until Dec. 14, 2007, to
prove their claims to Guy Major 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.
MBF No.2's shareholders agreed on Nov. 1, 2007, to place the
company into voluntary liquidation under The Companies Law (2004
Revision) of the Cayman Islands.
The liquidators can be reached at:
Guy Major
Richard Gordon
Maples Finance Limited
P.O. Box 1093, George Town
Grand Cayman, Cayman Islands
QGPC FINANCE: Proofs of Claim Filing Deadline Is Dec. 14
--------------------------------------------------------
QGPC Finance (Cayman) Limited's creditors are given until
Dec. 14, 2007, to prove their claims to Helen Allen and Emile
Small, 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.
QGPC Finance's shareholders agreed on Nov. 1, 2007, to place the
company into voluntary liquidation under The Companies Law (2004
Revision) of the Cayman Islands.
The liquidators can be reached at:
Helen Allen
Emile Small
Maples Finance Limited
P.O. Box 1093, George Town
Grand Cayman, Cayman Islands
RETAIL BUSINESS: Proofs of Claim Filing Ends on Dec. 14
-------------------------------------------------------
Retail Business Partners' creditors are given until
Dec. 14, 2007, to prove their claims to Martin Couch and Emile
Small, 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.
Retail Business' shareholders agreed on Nov. 1, 2007, to place
the company into voluntary liquidation under The Companies Law
(2004 Revision) of the Cayman Islands.
The liquidators can be reached at:
Martin Couch
Emile Small
Maples Finance Limited
P.O. Box 1093, George Town
Grand Cayman, Cayman Islands
ROBECO CDO: Proofs of Claim Filing Deadline Is Dec. 14
------------------------------------------------------
Robeco CDO Finance Limited' creditors are given until
Dec. 14, 2007, to prove their claims to Carlos Farjallah 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.
Robeco CDO's shareholder decided on Nov. 1, 2007, to place the
company into voluntary liquidation under The Companies Law (2004
Revision) of the Cayman Islands.
The liquidators can be reached at:
Carlos Farjallah
Joshua Grant
Maples Finance Limited
P.O. Box 1093, George Town
Grand Cayman, Cayman Islands
SABOTEN HOLDINGS: Proofs of Claim Filing Is Until Dec. 14
---------------------------------------------------------
Saboten Holdings, Ltd.'s creditors are given until
Dec. 14, 2007, to prove their claims to Chris Marett and Emile
Small, 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.
Saboten Holdings' shareholder decided on Nov. 1, 2007, to place
the company into voluntary liquidation under The Companies Law
(2004 Revision) of the Cayman Islands.
The liquidators can be reached at:
Chris Marett
Emile Small
Maples Finance Limited
P.O. Box 1093, George Town
Grand Cayman, Cayman Islands
SENBON ASSET: Proofs of Claim Filing Is Until Dec. 14
-----------------------------------------------------
Senbon Asset Corporation's creditors are given until
Dec. 14, 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.
Senbon Asset's shareholder decided on Nov. 1, 2007, to place the
company into voluntary liquidation under The Companies Law (2004
Revision) of the Cayman Islands.
The liquidators can be reached at:
Richard Gordon
Josh Grant
Maples Finance Limited
P.O. Box 1093, George Town
Grand Cayman, Cayman Islands
=========
C H I L E
=========
AES CORP: Somerset Seeks Judge's Disqualification in Lawsuit
------------------------------------------------------------
The Buffalo News reports that the Town of Somerset has sought
the disqualification of State Supreme Court Justice Richard C.
Kloch Sr. from the lawsuits against the AES Corp.'s planned
power plant.
According to the Buffalo News, Somerset claimed that Judge Kloch
made several statements in open court prejudging the result of
the cases and "slamming the attorneys for the town."
Shoemaker's partner, Robert S. Roberson, signed the motion. It
asserts that Judge Kloch made several statements in court during
hearings in June 2007 on the tax break that indicated that he
had decided how he would rule on the power plant assessment case
if he had to do so.
The Buffalo News notes that as indicated by a courtroom
transcript, Judge Kloch said on June 11, 2007, "Only one person
really knows the value, and that's myself, and that's without
the benefit of hearing all the proof." The judge also admitted,
"I have a recurring nightmare, and the nightmare is that I have
to, in fact, try these [assessment] proceedings."
The Buffalo News says that the motion also claims that Judge
Kloch made critical comments about Mr. Roberson and Shoemaker in
court.
The complainants commented to the Buffalo News, "Various actions
and statements of Justice Kloch . . . were improper, establish
actual impropriety as well as create the appearance of
impropriety on behalf of Justice Kloch, [and] establish bias on
the part of Justice Kloch toward the town and its attorneys."
The report says that the motion demanding that Judge Kloch
remove himself from the assessment cases would be heard before
him on Jan. 24, 2007.
Town Attorney Edwin J. Shoemaker told the Buffalo News that he
is positive the complainants will win the appeal on the tax
break case.
The motion was "obviously without foundation, and highly ironic,
because Judge Kloch has ruled against AES in every instance [in
the assessment cases]," the Buffalo News says, citing Mark
McNamara, the attorney for AES. Judge Kloch was citing other
cases.
"Since when does looking at legal precedent rise to the level of
bias?" Mr. McNamara commented to the Buffalo News.
The assessment suits were dismissed but could be reinstated once
the town and the Barker Central School District succeed in their
appeals on Judge Kloch's ruling that a tax break for the AES
plant was legal, the Buffalo News states.
AES Corp. -- http://www.aes.com/-- is a global power company.
The company operates in South America, Europe, Africa, Asia and
the Caribbean countries. Specifically, it also has operations
in India. Generating 44,000 megawatts of electricity through
124 power facilities, the company delivers electricity through
15 distribution companies. The company's Latin America business
group is comprised of generation plants and electric utilities
in Argentina, Brazil, Chile, Colombia, Dominican Republic, El
Salvador, Panama and Venezuela.
As reported in the Troubled Company Reporter-Latin America on
Oct. 12, 2007, Moody's Investors Service affirmed The AES
Corporation's Corporate Family Rating at B1 and the senior
unsecured rating assigned to its new senior unsecured notes
offering at B1 following its upsizing to US$2 billion from
US$500 million. LGD assessments are subject to change pending
the final capital structure.
As reported on Oct. 12, 2007, Fitch Ratings assigned a 'BB/RR1'
rating to AES Corporation's US$500 million issue of senior
unsecured notes due 2017. AES' long-term Issuer Default Rating
is rated 'B+' by Fitch. Fitch said the rating outlook is
stable.
ANIXTER INT'L: Has Up to 1 Mil. Shares Under Repurchase Program
---------------------------------------------------------------
Anixter International Inc. has announced a share repurchase
program under which the company may repurchase up to 1 million
of its outstanding shares with the exact volume and timing
dependent on market conditions. Anixter noted that this program
is in addition to all previously announced share repurchase
programs that have been completed, including the one announced
on Nov. 2, 2007.
Anixter currently has approximately 36.4 million shares
outstanding.
About Anixter
Anixter International Inc. -- http://www.anixter.com/-- is the
world's largest distributor of communication products and
electrical and electronic wire and cable, and a leading
distributor of fasteners and other small parts ("C" class
inventory components) to original equipment manufacturers.
The company has nearly US$725 million in inventory of more than
325,000 products, logistics network of 197 warehouses with more
than 5 million square feet of space. It has operations in Latin
American countries including Mexico, Costa Rica, Brazil and
Chile.
* * *
As reported in the Troubled Company Reporter-Latin America on
Nov. 2, 2007, Fitch Ratings has affirmed these ratings for
Anixter International Inc. and its wholly owned operating
subsidiary, Anixter Inc.:
Anixter International Inc.
-- Issuer Default Rating 'BB+';
-- Senior unsecured debt 'BB-'.
Anixter Inc.
-- Issuer Default Rating 'BB+';
-- Senior unsecured notes 'BB+';
-- Senior unsecured bank credit facility at 'BB+'.
BUCYRUS INT'L: New World to Buy Ten Longwall Systems from Unit
--------------------------------------------------------------
Bucyrus International Inc. has confirmed that New World
Resources N.V., a leading producer of hard coal in the Czech
Republic and Central Europe, has issued a Letter of Intent to
purchase ten new longwall systems from the underground mining
equipment manufacturing segment of Bucyrus. These systems will
be put to work at New World's wholly owned subsidiary OKD a.s.,
the Czech Republic's largest hard coal mining company. New
World is a Dutch based company. This LOI represents a
preliminary notice of intent to purchase with the actual
purchase and rollout of the equipment to take place over the
next 24 months, according to a news release issued by New World.
New World announced that they have initiated a EUR300 million
capital investment program at OKD, which signifies their
commitment to, "... investing in (our) mining operations to
ensure that they are safe, efficient and productive", said by
Mike Salamon, Chairman of New World. In making today's
announcement Tim Sullivan, President & CEO of Bucyrus
International, Inc. noted this significant LOI by highlighting,
"Bucyrus' underground equipment can and will support our
customers goal for improved efficiency and increased production
and safety. Bucyrus, as a world leader in the design and
manufacture of longwall systems, has the experience and know-how
to support the customer for long-term success."
About Bucyrus International, Inc.
Bucyrus International -- http://www.bucyrus.com/-- is a leading
manufacturer of electric mining shovels, walking draglines and
rotary blasthole drills and provides aftermarket replacement
parts and services for these machines. For the 12 months ended
Sept. 30, 2006, Bucyrus had sales of US$705 million. Bucyrus is
headquartered in South Milwaukee, Wisconsin. DBT has eight
facilities around the world and approximately 3,200 employees.
The company has operations in Brazil, Chile, China and Europe.
* * *
As reported in the Troubled Company Reporter-LAtin America on
June 7, 2007, Standard & Poor's Ratings Services revised its
recovery rating on Bucyrus's credit facilities. The bank loan
rating remains 'BB-', however the recovery rating was revised to
'3' from '4', indicating S&P's expectation that these lenders
would receive meaningful recovery (50%-80%) in a payment
default.
The paydown of more than US$300 million in the term loan -- to
US$500 million from US$825 million from proceeds of a recent
equity offering -- was the primary reason for the rating change.
The corporate credit rating on Bucyrus is BB-/Positive/--
FOSTER WHEELER: Chilean Unit Bags Contract from UTE CT
------------------------------------------------------
Foster Wheeler Ltd.'s Chilean subsidiary, Foster Wheeler Chile,
S.A., part of its Global Engineering and Construction Group, has
been awarded a lump-sum detailed engineering contract by the
Spanish company UTE CT Mejillones, which is owned by Cobra
Instalaciones y Servicios S.A., part of the ACS Group, for a new
power facility at the Andino power plant at Mejillones, northern
Chile.
The Foster Wheeler contract value was not disclosed. The
project will be included in the company's fourth-quarter 2007
bookings.
Foster Wheeler Chile will undertake the detailed engineering for
the entire facility, which will include a 165 MWe (gross
megawatt electric) circulating fluidized-bed (CFB) boiler and a
steam turbine. As previously announced on Sept. 18, 2007,
Foster Wheeler's Global Power Group has been awarded a design
and supply contract for the CFB boiler island.
"These two awards from Cobra demonstrate our customer's
confidence not only in the flexible, reliable and
environmentally responsible solution offered by our CFB boilers,
but also in the quality of our engineering expertise," commented
Ramon Zubizarreta, managing director of Foster Wheeler Chile,
S.A.
The utility company, Central Termoelectrica Andino S.A., a
subsidiary of the Suez Energy International Group, will operate
the new power plant, which is expected to commence operation in
2010. Cobra is Suez's contractor.
About Foster Wheeler
Foster Wheeler Ltd. (Nasdaq: FWLT) -- http://www.fwc.com/--
offers a broad range of engineering, procurement, construction,
manufacturing, project development and management, research and
plant operation services. Foster Wheeler serves the refining,
upstream oil and gas, LNG and gas-to-liquids, petrochemical,
chemicals, power, pharmaceuticals, biotechnology and healthcare
industries. The corporation is based in Hamilton, Bermuda, and
its operational headquarters are in Clinton, New Jersey.
* * *
As reported in the Troubled Company Reporter on Dec. 18, 2006,
Standard & Poor's Ratings Services revised its outlook on Foster
Wheeler Ltd. to positive from stable.
At the same time, Standard & Poor's affirmed its 'B+' corporate
credit rating and other ratings on the company. The company had
about US$217 million of total debt at Sept. 29, 2006.
===============
C O L O M B I A
===============
ECOPETROL: Will Sell 9.9% Stake
-------------------------------
Colombian state-run oil firm Ecopetrol will sell an additional
9.9% stake, Business News Americas reports.
As reported in the Troubled Company Reporter-Latin America on
Nov. 30, 2007, Ecopetrol's shares was set to resume trading on
the Bogota stock exchange after a series of suspensions in its
first two days on the market. Ecopetrol's shares were suspended
twice in the first day of trading on Nov. 27, 2007, when their
price rose over 10% to COP1,540 and COP2,000. The stock
exchange again stopped the trading of Ecopetrol on
Nov. 28, 2007, when the price rose over 10%. Almost eight
million shares were traded on Nov. 28 for a total value of
COP16.1 billion. Trading would resume at COP2,022.
The next stake sale will depend on Ecopetrol's capex needs,
according to BNamericas.
Colombian energy and mining minister Hernn Martinez Torres
commented to the press, "Right now, we have enough money."
An Ecopetrol spokesperson previously told BNamericas there would
not be a second round before eight months.
Minister Torres told BNamericas that Ecopetrol will invest about
US$12.5 billion of its own funds through 2012. The firm also
has an additional US$2.8 billion it raised from its initial
public offering.
"This could all change, however, if there were a large oil
discovery requiring significant investment," Minister Torres
commented to BNamericas.
Ecopetrol will list its shares on a New York market by the end
of 2008, BNamericas states.
Ecopetrol is an integrated-oil company that is wholly owned by
the Colombian government. The company's activities include
exploration for and production of crude oil and natural gas, as
well as refining, transportation, and marketing of crude oil,
natural gas and refined products. Ecopetrol is Latin America's
fourth-largest integrated-oil concern. Operations are organized
into Exploration & Production, Refining & Marketing,
Transportation, and International Commerce & Gas. Ecopetrol
produced 385,000 barrels a day of oil and gas in 2006 and has
330,000 barrels a day of refining capacity, according to the
company's Web site. In 2005 it produced about 60 percent of
Colombia's daily output.
* * *
As reported in the Troubled Company Reporter-Latin America on
Nov. 6, 2007, Fitch Ratings affirmed Ecopetrol S.A.'s foreign
and local currency issuer default ratings at 'BB+' and 'BBB-',
respectively. Fitch said the outlook for all ratings is stable.
===================
C O S T A R I C A
===================
* COSTA RICA: China Prospecting for Oil
---------------------------------------
China has eyed Costa Rica as prospect for oil, which is part of
a bilateral alliance in the hydrocarbon sector, Inside Costa
Rica reports.
Refinadora Costarricense de Petroleo chairman Jose Desanti
disclosed that the state National Petroleum Corporation of China
will open preliminary geological probes, Inside Costa Rica says.
According to Mr. Desanti, seeking oil in Costa Rica has been
currently frozen due to a disagreement with U.S. firm Harken,
adding that the project depended on its economic, social, and
environmental feasibility.
Inside Costa Rica relates that in May 2002, Costa Rican
president Abel Pacheco announced a moratorium on oil exploration
and open-pit mining in the country, a response to a large-scale
mobilization of the country's environmentalists.
* * *
As reported in the Troubled Company Reporter-Latin America on
Oct. 10, 2007, Standard & Poor's Ratings Services has affirmed
its 'BB' foreign and 'BB+' local currency long-term credit
ratings on the Republic of Costa Rica.
At the same time, S&P has affirmed its 'B' short-term local and
foreign currency ratings on the Republic.
As reported on Aug. 21, 2006, Fitch Ratings upgraded Costa
Rica's country ceiling to BB+ from BB.
* COSTA RICA: To Reach US$1.4 Billion in Fuel Bill
--------------------------------------------------
Inside Costa Rica relates that Costa Rica is to top a record of
US$1.4 billion of fuel bill in 2007, some US$163.8 million more
than last year, when it was US$1,249 million.
About 5.6% of the Gross Domestic Product for 2007's bill,
compared to 2% in 1997, Inside Costa Rica adds.
Refinadora Costarricense de Petroleo S.A, the state run refinery
and distributor of gasoline products, asserted that the increase
resulted to:
-- the large number of motor vehicles, which had almost
doubled during the last decade and
-- the fuel usage in the production of electricity.
* * *
As reported in the Troubled Company Reporter-Latin America on
Oct. 10, 2007, Standard & Poor's Ratings Services has affirmed
its 'BB' foreign and 'BB+' local currency long-term credit
ratings on the Republic of Costa Rica.
At the same time, S&P has affirmed its 'B' short-term local and
foreign currency ratings on the Republic.
As reported on Aug. 21, 2006, Fitch Ratings upgraded Costa
Rica's country ceiling to BB+ from BB.
=============
E C U A D O R
=============
PETROECUADOR: President Hands Control to Navy Officials
-------------------------------------------------------
After a disappointing performance from its previous leaders,
President Rafael Correa has given the reins of the national oil
firm to navy officers.
President Correa has recently sacked Carlos Pareja, who was the
company's head beginning January 2007, replacing him with Navy
Rear Admiral Fernando Zurita.
Bloomberg says that other navy officers to hold important jobs
at Petroecuard include Patricio Goyes, who will run the
production unit; Carlos Albuja, will head refining; and Marco
Salinas, will oversee sales of oil and other fuels.
Petroecuador's production has currently suffered a setback due
to protests, which President Correa blamed on the previous
administrators.
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.
PETROECUADOR: Ends Demonstrations in Orellana
---------------------------------------------
Ecuadorian state-run oil firm Petroecuador's spokesperson Fausto
Mejia told Reuters that the firm has controlled a violent
protest in Amazon province of Orellana.
As reported in the Troubled Company Reporter-Latin America on
Dec. 3, 2007, Ecuadorian President Rafael Correa fired Carlos
Pareja as state-owned oil firm Petroecuador's chief after days
of protests cost the firm millions of dollars in lost
production. The Ecuadorian presidential palace said in a
statement that navy Rear Adm. Fernando Zurita replaced Mr.
Pareja as Petroecuador head. Petroecuador said that protesters
demanding jobs, electricity and paved roads took over the
company's Auca Sur facility. The protest started last week in
Dayuma, Orellana. Petroecuador admitted that daily output at
the Auca Sur field decreased by 5,000 barrels to 171,000 barrels
due to the protest and that the deficit would increase unless
the facility returned to normal. It may have unpredictable
effect on price. Production losses will continue to rise "every
hour as the complex remains shut down."
According to Reuters, the protests resulted to a 20% decline in
Petroecuador's daily production last week.
Reuters relates that Petroecuador's oil output increased to
normal levels on Sunday at 172,404 barrels per day, recovering
from the Orellana residents' protests for more state funding for
infrastructure projects.
"The military has provided security for our installations, and
operations are returning to normal," Mr. Mejia told Reuters.
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.
=================
G U A T E M A L A
=================
AFFILIATED COMPUTER: Fitch Affirms BB- Rating on Secured Notes
--------------------------------------------------------------
Fitch Ratings has removed Affiliated Computer Services, Inc.
from Rating Watch Negative and affirmed these ratings:
-- Issuer Default Rating 'BB';
-- Senior secured revolving credit facility at 'BB';
-- Senior secured term loan at 'BB';
-- Senior notes at 'BB-'.
The rating outlook is stable.
Approximately US$3.4 billion of debt, including the US$1 billion
revolving credit facility, is affected by Fitch's action.
Fitch's removal of Affiliated Computer from Rating Watch
Negative reflects the conclusion of the company's review of
strategic alternatives, which ultimately resulted in no
modification of the existing capital structure attributable to a
leveraged buyout or other change of ownership.
The ratings are supported by the company's:
-- Consistent free cash flow due to a significant recurring
revenue base from long-term outsourcing contracts (85% of
total revenue);
-- Diverse business lines, several of which are insulated or
countercyclical to U.S. economic growth, with minimal
exposure (5%-10% of revenue) to discretionary IT spending,
such as consulting;
-- Solid growth prospects for the business process outsourcing
services market (75% of total revenue);
-- Established and geographically diverse offshore delivery
model that reduces the effect of currency fluctuations
and/or salary inflation in individual offshore markets; and
-- Material and sustained improvement in renewal rates.
Rating concerns continue to center on:
-- The lack of visibility with respect to the company's long-
term capital structure plans, which could include further
debt-financed stock buybacks;
-- Acquisitive nature, which could be debt-financed going
forward;
-- Decline of new commercial contract bookings (60% of
revenues), which fell approximately 30% year-over-year for
the latest 12 months ended Sept. 30, 2007;
-- The ongoing Securities and Exchange Commission and
Department of Justice investigations, and several
derivative lawsuits, all of which relate to the company's
timing of historical stock option grants.
The ratings may be downgraded in the event of:
-- Aggressive resumption of debt-financed share buybacks.
Although Fitch believes some flexibility exists in the
current ratings for incremental debt-financed share
repurchases, full utilization of the company's remaining
US$2 billion uncommitted term loan accordion feature to buy
back shares would lead to negative rating actions.
-- A material reduction of liquidity if the pending court
decision rules that the company's failure to timely file
its 10-K for fiscal year 2006 constitutes an event of
default for the senior notes; and
-- Continued declines in new commercial contract bookings.
The ratings may be upgraded in the event of:
-- Greater company transparency with respect to long-term
capital structure targets;
-- Material debt reduction; and
-- Strong and sustainable growth of free cash flow.
The rating of 'BB-' for the senior notes incorporates the fact
that the secured credit facilities have the sole rights to
Affiliated Computer's accounts receivable, which represented
approximately 23% of total assets and 46% of tangible assets as
of Sept. 30, 2007, despite the notes being equally and ratably
secured with the senior secured credit facilities under the
terms of the related indenture. The credit facility is secured
by a first priority perfected pledge of all notes owned by the
borrowers and guarantors, all capital stock of predominantly all
domestic subsidiaries and certain foreign subsidiaries of the
company, and a first priority perfected security interest in all
other assets owned by the company, including tangible and
intangible assets.
As of June 30, 2007, the financial covenant ratios contained in
the credit facility, which are based on a quarterly schedule
that becomes more restrictive over time relative to the amount
of covenant adjusted debt outstanding, consist of bank-defined
maximum consolidated senior leverage ratio of 3 times, maximum
consolidated total leverage ratio of 4.0 and interest coverage
covenant of 4.5. Fitch estimates leverage (total debt/operating
EBITDA) declined slightly year-over-year to 2.3 as of
Sept. 30, 2007, from 2.5 due to growth in operating EBITDA.
Fitch estimates interest coverage (operating EBITDA/ gross
interest expense) declined to 5.8 for the LTM ended
Sept. 30, 2007, compared with nearly 10 in the year-ago period
due to increased interest expense from higher average debt
levels.
Fitch believes Affiliated Computer's liquidity is adequate and
was supported by approximately US$246 million of cash at
Sept. 30, 2007, and US$818 million of availability on its US$1
billion secured revolving credit facility expiring 2012. The
credit facility also includes an uncommitted accordion feature
enabling the company to increase the size of the revolver by up
to US$750 million for general corporate purposes under certain
circumstances. Liquidity is further supported by the company's
consistent free cash flow, which increased to US$378 million in
fiscal 2007 despite increased interest expense.
Total debt as of Sept. 30, 2007 was approximately US$2.4
billion, consisting primarily of US$1.8 billion of secured term
loans due 2013 and US$250 million of senior notes due in June
2010 and June 2015. The company's near-term debt maturities are
manageable as the next material debt obligations of US$275
million occur in fiscal year 2010. However, if the company's
failure to timely file its 10-K for fiscal 2006 is ruled an
event of default by the court, Fitch believes the company will
utilize its US$1 billion revolver to refinance the US$500
million of senior notes that would become immediately due at par
value plus accrued interest.
Headquartered in Dallas, Affiliated Computer Services Inc.
(NYSE: ACS) -- http://www.AffiliatedComputer-inc.com/--
provides business process outsourcing and information technology
solutions to world-class commercial and government clients. The
company has more than 58,000 employees supporting client
operations in nearly 100 countries. The company has global
operations in Brazil, China, Dominican Republic, India,
Guatemala, Ireland, Philippines, Poland, and Singapore.
=============
J A M A I C A
=============
AIR JAMAICA: Government Will Sell Airline
-----------------------------------------
The Jamaican government has decided it will sell Air Jamaica.
As reported in the Troubled Company Reporter-Latin America on
Nov. 22, 2007, the government was considering the privatization
of Air Jamaica, as part of a reassessment of the struggling
airline after the resignation of chief executive officer Michael
Conway.
The government admitted to The Associated Press that it plans to
divest all financial holdings in Air Jamaica by 2009, as the
airline is "a drag" on Jamaica's budget.
The government wanted to sell the carrier in 16 months, Senator
Don Wehby told the Caribbean Broadcasting Corp.
Senator Don Wehby, who was given the responsibility for Air
Jamaica earlier this month, insisted that the airline be
divested along with the Sugar Company of Jamaica if the
government wants to reduce the fiscal deficit and public debt.
Air Jamaica's losses would total US$4 billion in 2007, The
Jamaica Gleaner says, citing Senator Wehby. Air Jamaica's
accumulated losses in ten years "now top US$1 billion."
The money being alloted to Air Jamaica could be better used in
financing social services and that continuation of the support
for the airline is at the expense of Jamaica's social services,
Senator Wehby told Caribbean 360. The Jamaican information
service also said that the level of the government's support to
keep Air Jamaica running "is unsustainable."
Jamaica was recruiting an investment banker to lead the
divestment process and to guarantee that the advantages are
maximized, Senator Wehby told Caribbean 360, adding that the
government hoped to have restructured and divested Air Jamaica
so that it would no longer be a strain on the budget by March
2009. Inefficiencies in the operation of the airline are
controllable and can be solved. However, factors in the global
environment like increasing oil prices could not be controlled
by Air Jamaica and are unfavorable to the airline's future
viability.
According to the Caribbean Broadcasting, Air Jamaica disclosed
in November 2007 that it would cut its staff. It proposed a
one-year voluntary leave of absence for employees. Air Jamaica
chief executive officer Michael Conway also resigned after two
years on the position. He had one remaining year on his
contract. He supervised the sale of Air Jamaica's London-to-
Kingston route to Virgin Atlantic as part of a strategy to bring
the airline to profitability by 2009.
The Finance Ministry will be discussing a plan "to cap debt,"
which is now at 134% of gross domestic product, as well as the
fiscal deficit. Senator Wehby "pointed to tax expert Professor
Vito Tanzi's advice that a combination of a low fiscal deficit
with a high growth rate of the economy would help to reduce the
public debt."
Headquartered in Kingston, Jamaica, Air Jamaica --
http://www.airjamaica.com/-- was founded in 1969. It flies
passengers and cargo to almost 30 destinations in the Caribbean,
Europe, and North America. Air Jamaica offers vacation packages
through Air Jamaica Vacations. The company closed its intra-
island services unit, Air Jamaica Express, in October 2005. The
Jamaican government assumed full ownership of the airline after
an investor group turned over its 75% stake in late 2004. The
government had owned 25% of the company after it went private in
1994. The Jamaican government does not plan to on Air Jamaica
permanently.
* * *
On July 21, 2006, Standard & Poor's Rating Services assigned B
long-term foreign issuer credit rating on Air Jamaica Ltd.,
which is equal to the long-term foreign currency sovereign
credit rating on Jamaica, is based on the government's
unconditional guarantee of both principal and interest payments.
* * *
As reported in the Troubled Company Reporter-Latin America on
June 12, 2007, Moody's Investors Service assigned a rating of B1
to Air Jamaica Limited's guaranteed senior unsecured notes.
===========
M E X I C O
===========
ARROW ELECTRONICS: Expects Revenue To Rise 28% in Fourth Quarter
----------------------------------------------------------------
Arrow Electronics Inc. has raised its financial guidance for the
quarter ending Dec. 31, 2007.
Based upon preliminary data, the company expects revenue to be
between US$4.25 and US$4.45 billion with earnings per share, on
a diluted basis, excluding any charges but including an estimate
for amortization of intangible assets of US$0.02 to US$0.03, to
be in the range of US$0.92 to US$0.97, an increase of 28 percent
to 35 percent from last year's fourth quarter.
The company stated previously that it anticipated sales to be
between US$4.15 and US$4.45 billion with earnings per share, on
a diluted basis, in the range of US$0.90 to US$0.95 for the
quarter ending Dec. 31, 2007.
The company has learned that certain quarter-to-date sales data
had been selectively disclosed by an employee and, accordingly,
made the determination that the most prudent course of action
under these unusual circumstances was to publicly update its
guidance for the quarter ending Dec. 31, 2007.
About Arrow Electronics
Headquartered in Melville, New York, Arrow Electronics Inc.
-- http://www.arrow.com/-- provides products, services and
solutions to industrial and commercial users of electronic
components and computer products. Arrow serves as a supply
channel partner for nearly 600 suppliers and more than 130,000
original equipment manufacturers, contract manufacturers and
commercial customers through a global network of over 270
locations in 53 countries and territories.
The company operates in France, Spain, Portugal, Denmark,
Estonia, Finland, Ireland, Latvia, Lithuania, Norway, Sweden,
Italy, Germany, Austria, Switzerland, Belgium, the Netherlands,
United Kingdom, Argentina, Brazil, Mexico, Australia, China,
Hong Kong, Korea, Philippines and Singapore.
* * *
Arrow Electronics senior subordinated stock continues to carry
Moody's Investors Service's Ba1 rating. The company's senior
preferred stock is rated at Ba2.
BEARINGPOINT INC: Board Hires Ed Harbach as President & CEO
-----------------------------------------------------------
BearingPoint Inc.'s Board of Directors has named Ed Harbach
president and chief executive officer and a member of the Board
of Directors. Mr. Harbach, who has more than 28 years of
experience in the consulting industry, has been the Company's
president and chief operating officer since Jan. 2007.
Harry L. You, who joined as chief executive officer in March
2005, is leaving the company to pursue other opportunities and
will be succeeded by Mr. Harbach. Mr. You successfully led
BearingPoint through an important period of rebuilding and
improved financial management.
The company also filed its third-quarter Form 10-Q making it
current and up-to-date in its periodic filings with the
Securities and Exchange Commission.
Roderick McGeary, chairman of the board, stated, "BearingPoint
continues to make great progress. Harry helped to build the
financial foundation necessary to position us for future
success. The Board and Harry agreed that this is the perfect
time for a change in leadership. We are thrilled that Ed will
lead the Company into the next, critical phase of achieving
strategic and operational excellence. Ed has extensive
experience in the consulting industry, and has already brought
great value to BearingPoint as the leader of its day-to-day
operations. With his proven ability to tackle operational
challenges, drive business results and increase client
satisfaction, Ed will be instrumental in helping us make the
final push on our business turnaround and execute our strategy
for long-term growth."
Mr. McGeary added, "Ed's appointment reflects the Board's
determination that the best way for the Company to create value
for its shareholders, clients and employees is by intensifying
our focus on operations -- and leveraging the full scale and
scope of our global business, including continuing to own and
operate our European practice as an important part of our
consolidated business. Ed will pursue this strategy with a
focused and disciplined approach to driving profitable growth,
building the Company's cash flow and strengthening the balance
sheet."
Mr. Harbach stated, "I am very enthusiastic about taking on the
chief executive role. I have worked in the consulting business
for my entire career and I am confident that our Company can
create long-term value for shareholders. BearingPoint has
world-class people and a solid customer base with great
potential. I look forward to working with the Board, our
management team and our global employee base to operate the
Company efficiently and to continue to establish BearingPoint as
one of the world's premier management technology and consulting
firms."
Prior to his role as president and chief operating officer of
BearingPoint, Mr. Harbach served as a managing partner and
member of the leadership team at Accenture and held key client-
facing and executive positions throughout the organization. In
addition to leading global client relationships with several
Fortune 100 companies, Harbach served as chief information
officer and managing partner, Client Satisfaction and Quality,
and also served as turnaround leader on a number of critical
client and organizational assignments in multiple geographic
regions.
Mr. McGeary added, "We thank Harry for his hard work and
important contributions to BearingPoint over the last three
years. Harry's leadership has been important, particularly in
building a strong foundation to bring current the Company's
financial reporting, strengthen the balance sheet and resolve a
significant number of serious financial, compliance, legal and
other issues which existed when he arrived. On behalf of the
Board and management team, we wish him well in his future
endeavors."
Mr. You stated, "I am delighted that we have been able to get
current and I look forward to pursuing other opportunities. It
has been a privilege working with the many talented people
throughout BearingPoint over the past three years. I am proud of
the progress the Company has made. It is a real testament to
our franchise and to the tenacity of our people." You
continued, "I have known Ed for several years and am confident
in his abilities to lead BearingPoint into the future."
About BearingPoint
Headquartered in McLean, Virginia, BearingPoint Inc., (NYSE:
BE) -- http://www.BearingPoint.com/-- provides of management
and technology consulting services to Global 2000 companies and
government organizations in 60 countries worldwide. The firm
has approximately 17,500 employees, and major practice areas
focusing on the Public Services, Financial Services and
Commercial Services markets.
BearingPoint has global locations including in Indonesia,
Australia, Austria, China, India, Japan, Mexico, Portugal,
Singapore and Thailand.
The company reported total assets of US$1.9 billion, total
liabilities of US$2.1 billion, and total stockholders deficit of
US$177.3 million as of Dec. 31, 2006.
CHRYSLER LLC: Invests US$48 Mil. to Support New Dodge Production
----------------------------------------------------------------
Production of the all-new 2008 Dodge Ram 4500 and 5500 Chassis
Cabs is underway at Chrysler LLC's Saltillo Assembly Plant in
Saltillo, Mexico. To support new commercial vehicle production,
Chrysler recently invested an additional US$48 million into the
plant, resulting in a 120,000 square-foot expansion that allows
the plant to produce commercial vehicles and accommodate new
frame configurations. This follows an additional US$210 million
investment into the plant for production of the all-new 2006
Dodge Ram Mega Cab in 2005. Dodge Ram 4500/5500 production got
underway in July 2007, with the first vehicles reaching Dodge
commercial vehicle dealerships in November.
The Saltillo Plant, which also produces the Dodge Ram Mega Cab,
Dodge Ram Power Wagon, Dodge Ram Heavy Duty 2500 and 3500
models, and Dodge Ram 3500 Chassis Cab, takes on production of
the Dodge Ram 4500 and 5500 Chassis Cabs as part of Chrysler's
Flexible Manufacturing Strategy.
In addition to increased production capacity, the expansion
enables the plant to manage the greater complexity of the all-
new 2008 Dodge Ram 4500 and 5500 Chassis Cabs. This includes
commercial-grade chassis and suspensions, four wheelbases and
cab-axle lengths, regular cab and Quad Cab(R) configurations,
two-wheel-drive and four-wheel-drive models, and three trim
lines' SLT, SLT and Laramie. All models are 'Job-rated,'
meaning they are designed, engineered, tested and built to meet
the rigid standards of commercial truck buyers.
"A continuous showcase of advanced manufacturing capability and
adaptability, the Saltillo facility is one of our most versatile
plants and a great example of Chrysler's flexible manufacturing
ability," Frank Ewasyshyn, Executive Vice President -
Manufacturing, said. "Even with the added complexities of
commercial vehicle production, we're not only able to adjust
operations to better respond to customer needs, but we're also
better positioned to build a positive business case for new
products and derivatives as each plant is able to maximize
production capacity."
The Saltillo Assembly Plant has 2,100 employees working on two
shifts and is one of five Chrysler production facilities in
Mexico.
Flexible Manufacturing Strategy
Chrysler's Flexible Manufacturing Strategy allows the company to
produce a high-quality product faster and at a lower cost. In
order to balance production with demand, the FMS approach allows
the company to efficiently build lower-volume vehicles that take
advantage of market niche and to quickly shift production
volumes between different models within a single plant or among
multiple plants.
FMS has been implemented product-by-product and plant-by-plant
across the Chrysler manufacturing enterprise. Creating enhanced
efficiencies, new investment is introducing state-of-the-art
technology to Chrysler plants, enabling the company to produce
more than one vehicle on a production line and conduct rolling
launches of new models. Chrysler's workforce is also becoming
more flexible with the implementation of team concepts and an
increased emphasis on supporting assembly line operators.
Dodge Commercial Vehicles
Dodge continues to increase the breadth of its commercial
products and offers a comprehensive array of vehicles and
services designed with business customers in mind. Along with
the Dodge Ram 2500/3500 Box-Off models and the Dodge Ram 3500,
4500 and 5500 Chassis Cabs -- the Class 3-5 segments' most
powerful, capable and upfit-friendly work-trucks -- Dodge Grand
Caravan cargo vans complement a growing Dodge commercial lineup
that includes the class-leading Dodge Sprinter, which continues
its legacy and leadership as the top-performing commercial van
in the marketplace.
Dodge Brand
With a U.S. market share of 6%, Dodge is Chrysler's best-selling
brand and the fifth largest nameplate in the U.S. automotive
market. In 2006, Dodge sold more than 1.3 million vehicles in
the global market. Dodge continues to lead the minivan market
with a 20% market share in the U.S. In the highly competitive
truck market, Dodge has an 18% market share. Dodge is also
entering key European volume segments with Nitro, Caliber and
Avenger.
About Chrysler
Headquartered in Auburn Hills, Michigan, Chrysler LLC --
http://www.chrysler.com/-- a unit of Cerberus Capital
Management LP, produces Chrysler, Jeep(R), Dodge and Mopar(R)
brand vehicles and products. 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-Latin America on
Nov. 13, 2007, Standard & Poor's Ratings Services affirmed its
'B' corporate credit rating on Chrysler LLC and DaimlerChrysler
Financial Services Americas LLC and removed it from CreditWatch
with positive implications, where it was placed Sept. 26, 2007.
S&P said the outlook is negative.
CHRYSLER LLC: Overall November 2007 U.S. Sales Down 2 Percent
-------------------------------------------------------------
Chrysler LLC dealers delivered 161,088 new vehicles to U.S.
customers in November 2007, down 2% compared with a year ago.
All sales figures are reported as unadjusted.
"Despite consumer concerns, Chrysler LLC sales are off only 2%
showing customers are still purchasing quality and value. High
fuel prices and falling home prices continue to impact vehicle
sales in November which remain below trend," Darryl Jackson,
Vice President - U.S. Sales, said. "We remain optimistic moving
into December due to the growing availability of new models,
including Chrysler Town & Country, Dodge Grand Caravan and the
Jeep Liberty."
Chrysler brand car sales were led by the Sebring Convertible,
which increased sales to 2,039 units compared with 195 units a
year ago, up 946%. Chrysler Town & Country sales rose 10% to
12,629 units versus November 2006 with 11,507 units.
High fuel prices impacted Jeep(R) brand results, down 2% versus
November of last year. Large SUVs saw the greatest impact with
Jeep(R) Commander down 45% at 4,391 units versus November 2006.
Dodge brand car sales increased 75% over last year by steady
sales of the Dodge Charger with 10,341 units delivered.
"The recently launched "Event of a Lifetime" program has
resonated well with customers and will be continued through
Jan. 2, 2008," Michael Keegan, Vice President - Volume Planning
and Sales Operations, said. "We continue to offer customers a
great value package and on select 2008 models we will extend the
0% APR through 60 months."
Chrysler finished the month with 480,424 units of inventory, or
an 75-day supply. Inventory is down by 4% compared to November
2006 when it was at 499,036 units.
Headquartered in Auburn Hills, Michigan, Chrysler LLC --
http://www.chrysler.com/-- a unit of Cerberus Capital
Management LP, produces Chrysler, Jeep(R), Dodge and Mopar(R)
brand vehicles and products. 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-Latin America on
Nov. 13, 2007, Standard & Poor's Ratings Services affirmed its
'B' corporate credit rating on Chrysler LLC and DaimlerChrysler
Financial Services Americas LLC and removed it from CreditWatch
with positive implications, where it was placed Sept. 26, 2007.
S&P said the outlook is negative.
COINSTAR INC: Moody's Withdraws Ratings After Debt Refinancing
--------------------------------------------------------------
Moody's Investors Service has withdrawn the Ba2 Corporate Family
Rating of Coinstar, Inc. following the refinancing of the
company's existing US$310 million senior secured credit facility
with a new facility, which provides for a US$400 million
revolving line of credit. The refinancing took place on
Nov. 20, 2007.
Moody's withdrew these ratings:
-- The Ba2 Corporate Family Rating;
-- The Ba3 Probability of Default Rating;
-- The Ba2 (LGD3, 31%) on the US$60 million senior secured
revolver due 2011;
-- The Ba2 (LGD3, 31%) rating on the (original) US$250 million
senior secured term loan B due 2011;
-- The SGL-1 Speculative Grade Liquidity rating.
Coinstar, Inc., based in Bellevue, Washington, owns and operates
a multinational, fully automated network of coin processing
kiosks, as well as electronic payment, entertainment services,
and self-service DVD rentals. The company owns and operates
nearly 13,000 coin-counting machines in the US, Canada and the
UK, and 320,000 entertainment services (skill-crane, bulk
vending, and kiddie ride) machines across the US and Mexico.
Additionally, it utilizes more than 19,300 point-of-sale
terminals and owns and operates approximately 360 stand-alone e-
payment kiosks in the US and the UK. The coin-counting units
are located primarily in supermarkets (such as Kroger and
Albertsons); the entertainment services machines can be found in
more than 33,000 retail locations including Wal-Mart and Kmart
stores.
GENERAL MOTORS: Mexican Unit Launches First Hybrid Vehicle
----------------------------------------------------------
General Motors said in a statement that its Mexican subsidiary
has launched the first hybrid vehicle produced in the country.
Business News Americas relates that the car was made at General
Motors' plant in Coahuila. The emissions and fuel-efficient
model is at first for export to the US. General Motors will
also test Mexican market interest.
The Mexican government will promote public policies and fiscal
measures to urge the national use of hybrids and other fuel-
efficient vehicles, BNamericas states, citing Mexican President
Felipe Calderon.
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-Latin America on
Nov. 9, 2007, Moody's Investors Service affirmed its rating for
General Motors Corporation (B3 Corporate Family Rating, Ba3
senior secured, Caa1 senior unsecured and SGL-1 Speculative
Grade Liquidity rating) but changed the outlook to Stable from
Positive. In an environment of weakening prospects for US auto
sales GM has announced that it will take a non-cash charge of
US$39 billion for the third quarter of 2007 related to
establishing a valuation allowance against its deferred tax
assets (DTAs) in the US, Canada and Germany.
As reported in the Troubled Company Reporter on Oct. 23, 2007,
Standard & Poor's Ratings Services affirmed its 'B' corporate
credit rating and other ratings on General Motors Corp. and
removed them from CreditWatch with positive implications, where
they were placed Sept. 26, 2007, following agreement on the new
labor contract. S&P said the outlook is stable.
GRUPO MEXICO: May Close Three Mines Due to Protests
---------------------------------------------------
Grupo Mexico SA, de C.V., has threatened to shut down the
Cananea copper mine, the Taxco silver-lead-zinc mine and the San
Martin zinc mine, as the demonstration against the company
entered its fourth month, Business News Americas reports.
BNamericas relates that the Mexican national mining-metalworkers
union STMMRM launched strikes at the mines on July 30, 2007,
over issues relating to collective contracts and mine safety and
hygiene.
A Grupo Mexico communications officer commented to BNamericas,
"The situation is grave because it has been 120 days of strikes
and the company now finds itself obligated to consider closing
the mines."
Grupo Mexico will still make a final decision on the matter,
BNamericas says, citing the spokesperson.
According to Grupo Mexico's statement, the protests caused a 48%
drop in Mexico's copper output.
BNamericas notes that Grupo Mexico claimed that the workers'
union was trying to extort about US$80 million for moral damages
and another US$7 million for legal costs from the firm "as well
as having the federal government withdraw criminal charges"
against union leader Gomex Urrutia.
Meanwhile, Grupo Mexico had told Bloomberg News that a protest
at its Cananea copper mine may end in January 2008 "when federal
courts return from a recess."
Grupo Mexico spokesperson Juan Rebolledo explained to Bloomberg
News that federal judges studying the Cananea strike wouldn't
decide whether the walkout is legal before Dec. 15, 2007, which
is the start of their winter recess. However, Mr. Rebolledo
admitted to Bloomberg News that it's impossible to tell when a
court will make a ruling on the strike.
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.
ICONIX BRAND: Adds Four New Executives to Senior Management Team
----------------------------------------------------------------
Iconix Brand Group, Inc. has announced the addition of four new
executives to its senior management team.
Kimberly Lee Minor has joined Iconix as Vice President Brand
Management overseeing the company's London Fog, Joe Boxer and
Rampage brands. Ms. Minor was previously Vice President
Merchandising for Ann Taylor Loft and has over 20 years of
leadership experience in merchandising, product development and
sourcing at companies including Macy's and Foot Locker Global.
Carolyn D'Angelo joins Iconix as Vice President Brand Management
for the company's Home Division overseeing the Fieldcrest,
Cannon, Royal Velvet and Charisma brands. Ms. D'Angelo was
previously a Senior Vice President at Westpoint Home overseeing
that company's Ralph Lauren home business and has over 20 years
of experience in the home industry including senior positions at
Waverly Lifestyle Group and Springs Industries.
Neal Seideman joins Iconix as Vice President Business
Development. Mr. Seideman spent the last 8 years at
International Management Group running its North American
licensing division and has over 15 years of experience in a
broad variety of licensing roles.
Kenneth Richard has joined Iconix as Vice President Marketing.
Mr. Richard has 22 years of diverse marketing experience and has
worked in roles including Executive Vice President of Global
Marketing and Communications for BCBG Max Azria.
According to Iconix Brand Chairperson and Chief Executive
Officer, Neil Cole, "I am very excited about these new additions
to our senior management team. I am pleased that we continue to
attract such a talented and diverse set of leaders and confident
that we have the depth and diversity in our management team to
drive our ambitious growth plan."
About Iconix Brand
Based in New York City, Iconix Brand Group Inc. (Nasdaq: ICON) -
- http://www.iconixbrand.com/-- owns fashion brands to retail
distribution from the luxury market. The company licenses its
brands to retailers and manufacturers worldwide. The group has
international licensees in Mexico, Japan and the United Kingdom.
* * *
As of Nov. 8, 2007, Moody's ratings assigned to the Iconix Brand
Group Inc. on June 14, 2007 still apply. These assigned ratings
were B1 long-term corporate family and probability-of-default
ratings, Ba2 bank loan debt rating, and B3 subordinated debt
rating. Moody's said the outlook remains stable.
MAZDA MOTOR: North America/Canada Sales Drop 1.0% for Nov. 2007
---------------------------------------------------------------
Following three consecutive months of double-digit sales
increases, Mazda North American Operations has reported a 1.0
percent decrease in sales for November with 20,580 vehicles
sold. Mazda's year-to-date sales remain strong with 271,181
units sold, accounting for a 9.0 percent increase.
"Housing uncertainties, rising fuel prices and sagging consumer
confidence all year long have finally conspired to slow Mazda's
winning pace," said North American Operations president and
Chief Executive Officer, Jim O'Sullivan. "Three consecutive
months of double-digit increases, driven primarily by increased
availability of MAZDA3 and a first year of CX-9 sales that
exceeded even our expectations, still see us as one of the
strongest car companies in the business. We're selling cars and
crossover SUVs, we're making money and our outlook for the year
continues strong."
Mazda Motor de Mexico reported sales of 1,468 units, accounting
for a 74 percent increase over November 2006. On a year-to-date
basis, Mazda Mexico reported 14,452 total sales, an increase of
132 percent.
Rounding out North America, Mazda Canada, Inc. sales were down
9.9 percent with 4,715 units sold. On a year-to-date basis,
Mazda Canada sales are up 7.1 percent with 81,848 units sold.
About Mazda Motors
Headquartered in Hiroshima Prefecture, in Japan, Mazda Motor
Corporation -- http://www.mazda.co.jp/-- together with its
subsidiaries and associates, is primarily involved in the
manufacture and distribution of automobiles. The company
manufactures passenger cars and commercial vehicles. Mazda
Motor distributes its products in both domestic and overseas
markets. The company has 58 subsidiaries. It has overseas
operations in the United States, Canada, Mexico, Germany,
Belgium, France, the United Kingdom, Switzerland, Portugal,
Italy, Spain, Austria, Russia, Columbia, New Zealand, Thailand,
Indonesia and China. The company has a global network.
* * *
As reported on April 27, 2007, that Standard & Poor's Ratings
Services raised Mazda Motor Corp.'s long-term corporate credit
rating and the company's long-term senior unsecured debt to:
* Corporate Credit Rating: BB /Stable/
* Company's Long-term Senior Unsecured Debt: BB+
S&P's rating actions reflect Mazda's improved operational and
financial performance, and financial risk profile. Mazda's
operating and financial performance has been improving over the
past several years due to the success of new products following
a shift in strategy. The company continued to improve operating
and financial performance in the nine months ended
Dec. 31, 2006, owing to an improved sales mix and favorable
foreign exchange rates. Although the EBITDA margin of about 6%
remains lower than most of its Japanese peers, profitability is
steadily improving. Mazda is now focusing on certain segments
instead of attempting to compete as a full-line producer. The
company also has excellent product engineering capabilities.
MAZDA MOTOR: Posts 7.6% Boost in Global Output for October 2007
---------------------------------------------------------------
Mazda Motor Corporation has released its production and sales
results for October 2007.
Global production climbed 7.6% year-on-year to 118,769 units.
Domestic production increased 10.9% for a total of 93,302 units
mainly due to the additional production of the all-new Demio
bound for Europe and the CX-9 among other models. Overseas
production went down to 25,467 units, or an equivalent of 3.1%
due to the end of the production of Familia and Premacy models
in China.
Due to the new model effect of the Mazda2 or known overseas as
the Demio, and Mazda5 or Premacy, domestic sales went up 5.5%
as compared to October 2006.
Mazda's registered vehicle market share climbed 5.3%, up 0.1
points over October 2006, with a 2.7% share of the micro-mini
segment (up 0.4 points) and a 4.5% total market share, which is
up 0.3 points over last year's results.
About Mazda Motor
Headquartered in Hiroshima Prefecture, in Japan, Mazda Motor
Corporation -- http://www.mazda.co.jp/-- together with its
subsidiaries and associates, is primarily involved in the
manufacture and distribution of automobiles. The company
manufactures passenger cars and commercial vehicles. Mazda
Motor distributes its products in both domestic and overseas
markets. The company has 58 subsidiaries. It has overseas
operations in the United States, Canada, Mexico, Germany,
Belgium, France, the United Kingdom, Switzerland, Portugal,
Italy, Spain, Austria, Russia, Columbia, New Zealand, Thailand,
Indonesia and China. The Company has a global network.
* * *
As reported on April 27, 2007, Standard & Poor's Ratings
Services raised Mazda Motor Corp.'s long-term corporate
credit rating and the company's long-term senior unsecured debt
to:
* Corporate Credit Rating: BB /Stable/
* Company's Long-term Senior Unsecured Debt: BB+
S&P's rating actions reflect Mazda's improved operational and
financial performance, and financial risk profile. Mazda's
operating and financial performance has been improving over the
past several years due to the success of new products following
a shift in strategy. The company continued to improve operating
and financial performance in the nine months ended
Dec. 31, 2006, owing to an improved sales mix and favorable
foreign exchange rates. Although the EBITDA margin of about 6%
remains lower than most of its Japanese peers, profitability is
steadily improving. Mazda is now focusing on certain segments
instead of attempting to compete as a full-line producer. The
company also has excellent product engineering capabilities.
QUAKER FABRIC: Can Reject Unexpired Leases Under Gordon Pact
------------------------------------------------------------
Quaker Fabric Corp. and Quaker Fabric Corporation of Fall River
obtained authority from the U.S. Bankruptcy Court for the
District of Delaware to reject certain unexpired equipment and
real property leases, nunc pro tunc to each leases' respective
date of rejection.
As reported in the Troubled Company Reporter on Nov. 12, 2007,
the Debtors sold substantially all of their assets to Gordon
Brothers Group LLC including the right to designate the buyer
for certain percels of real property and leases for
approximately US$27 million by way of an auction.
Pursuant to the rights, Gordon Brothers has the exclusive right
to market and direct the disposition of leases and to designate
the ultimate assignee of the entire Debtors' right, title and
interest in and to such leases. In addition, Gordon Brothers
has the right to discontinue its efforts to market and attempt
to sell any such leases and to remove itself from liability with
respect to the leases.
On Oct. 15, 2007, Gordon Brothers delivered to the Debtors a
notice that Gordon had exercised its rights with respect to the
leases to the Debtors' Los Angeles, California warehouse, and
the Debtors' Highpoint warehouse in Thomasville, North Carolina.
The Debtors told the Court that rejection of the leases is in
the best interests of their creditors and estates, since the
Debtors have ceased their operations prior to their bankruptcy
filing.
A list of these real property leases and unexpired equipment can
be obtained at http://researcharchives.com/t/s?251f
About Quaker Fabric
Based in Fall River, Mass., Quaker Fabric Corp. (NASDAQ: QFAB)
-- http://www.quakerfabric.com/-- designs, manufactures, and
markets woven upholstery fabrics primarily for residential
furniture manufacturers and jobbers. It also develops and
manufactures specialty yarns, including chenille, taslan, and
spun products for use in the production of its fabrics, as well
as for sale to distributors of craft yarns, and manufacturers of
homefurnishings and other products. The company is one of the
largest producers of Jacquard upholstery fabrics.
Quaker Fabric sells its products through sales representatives
andindependent commissioned sales agents in the United States,
Canada, Mexico, and internationally.
The company and its affiliate, Quaker Fabric Corporation of Fall
River, filed for chapter 11 protection on Aug. 16, 2007 (Bankr.
D. Del. Case No. 07-11146). John D. Sigel, Esq. at Wilmer
Cutler Pickering Hale and Dorr LLP and Joel A. Waite, Esq. at
Young Conaway Stargatt & Taylor LLP are co-counsels to the
Debtors. Epiq Bankruptcy Solutions is the Debtors' claims
agent. The Official Committee of Unsecured Creditors has
selected Shumaker, Loop & Kendrick, LLP, as its bankruptcy
counsel and Benesch, Friedlander, Coplan & Aronoff, LLP, as co-
counsel.
The Debtors' schedules reflect total assets of US$41,375,191 and
total liabilities of US$54,435,354.
=================
N I C A R A G U A
=================
XEROX CORP: Doug Lord & Kevin Warren Joins Sr. Management Team
--------------------------------------------------------------
Xerox Corporation has appointed two seasoned executives to its
North American senior management team. Doug Lord has been named
president of Xerox's U.S. Solutions Group, and Kevin Warren will
now lead Xerox Canada, Ltd.
Mr. Lord, previously head of Xerox Canada, moves to the U.S. to
lead Xerox's direct sales force that markets and sells Xerox's
systems and services across the country. He replaces Michael
Brannigan, who is retiring from Xerox after a 35-year career
with the company. Mr. Lord brings a strong sales orientation to
the role with more than 30 years of Xerox experience not only in
sales management but also in marketing, human resources, supply
chain and customer service.
A 23-year veteran of Xerox, Mr. Warren assumes the role of
president, chairman and CEO of Xerox Canada, leading a team of
4,200 employees who deliver annual revenue of more than US$1.2
billion. Mr. Warren previously led the team responsible for the
transition of Xerox's acquisition of Global Imaging Systems. He
has a strong background in direct sales and sales management,
previously serving as head of Xerox's U.S. Eastern Sales
Operations.
Xerox also announced the retirement of Emerson Fullwood, chief
marketing officer, Xerox North America. Mr. Fullwood began his
Xerox career in 1972 and has held a number of marketing and
sales leadership positions throughout the company.
"A company's success is often defined by its leaders who are on
the front line, serving as champions for their people and their
customers," said Jim Firestone, executive vice president and
president, Xerox North America. "During their more than three
decades with Xerox, Mike and Emerson exemplified values-based,
results-driven leadership. We will always appreciate their
contributions to our company. They have paved the way for the
next generation of Xerox leadership, including Kevin and Doug,
to accelerate Xerox's growth and continue building value for our
stakeholders."
The appointments are effective Jan. 1, 2008. Both Messrs. Lord
and Warren report to Mr. Firestone.
Headquartered in Stamford, Connecticut, Xerox Corp. --
http://www.xerox.com/-- develops, manufactures, markets,
services and finances a range of document equipment, software,
solutions and services. Xerox operates in over 160 countries
worldwide and distributes products in the Western Hemisphere
through divisions, wholly owned subsidiaries and third-party
distributors. The company maintains operations in France,
Japan, Italy, Nicaragua, among others.
* * *
As reported in the Troubled Company Reporter-Latin America on
Nov. 21, 2007, Moody's Investors Service raised the ratings of
Xerox Corporation and supported subsidiaries, upgrading Xerox's
senior unsecured rating to Baa2 from Baa3.
===============
P A R A G U A Y
===============
ALCATEL-LUCENT: Deploys Contact Center Software for Telecom
-----------------------------------------------------------
Alcatel-Lucent said in a statement that it will install an
Internet protocol contact center software for Telecom Personal.
According to Alcatel-Lucent's statement, the software is based
on the firm's OmniPCX platform and OmniGenesys contact center.
It offers personalized communications for clients through:
-- 24-hour access,
-- short messaging service or E-mail interaction,
-- real time and historic custom statistics,
-- workforce forecast, and
-- voice portal services.
Business News Americas relates that the software also includes:
-- new Internet protocol telephony infrastructure,
-- Internet protocol phones, and
-- software for softphones.
"[Telecom] Personal Paraguay handles more than 1.3mn customer
transactions a month. It was important for us to find a
solution that would deliver faster linkage of people, processes
and resources for our more than 280 customer service
representatives to provide global service," Telecom Personal's
information technology manager Mario Bort told BNamericas.
About Telecom Personal
Telecom Personal is the wireless provider of Telecom Argentina
SA, providing services in Argentina and Paraguay over a GSM
network. The company has 7.7 million users, with an estimated
30% market share in Argentina and a customer mix of 66% prepaid
and 34% postpaid as of June 30, 2006.
About Alcatel-Lucent
Headquartered in Paris, France, Alcatel-Lucent (Euronext Paris
and NYSE: ALU) -- http://www.alcatel-lucent.com/-- provides
solutions that enable service providers, enterprises and
governments worldwide to deliver voice, data and video
communication services to end users. Alcatel-Lucent maintains
operations in 130 countries, including, Austria, Germany,
Hungary, Italy, Netherlands, Ireland, Canada, United States,
Costa Rica, Dominican Republic, El Salvador, Guatemala, Peru,
Venezuela, Indonesia, China, Australia, Brunei and Cambodia. On
Nov. 30, 2006, Alcatel and Lucent Technologies Inc. completed
their merger transaction, and began operations as a
communication solutions provider under the name Alcatel-Lucent
on Dec. 1, 2006.
* * *
As reported in the Troubled Company Reporter-Latin America on
Nov. 9, 2007, Moody's Investors Service has downgraded to Ba3
from Ba2 the Corporate Family Rating of Alcatel-Lucent. The
ratings for senior debt of the group were equally lowered to Ba3
from Ba2 and the trust preferred notes of Lucent Technologies
Capital Trust I have been downgraded to B2 from B1. At the same
time, Moody's affirmed its Not-Prime rating for short term debt
of Alcatel-Lucent. Moody's outlook for the ratings is stable.
=======
P E R U
=======
GOODYEAR TIRE: James Firestone Joins Board of Directors
-------------------------------------------------------
James A. Firestone, president, Xerox North America, has been
elected to the Board of Directors of The Goodyear Tire & Rubber
Company.
"Jim has a wealth of managerial experience with a diverse group
of respected companies, including Xerox, IBM and American
Express," said Goodyear Chairman and Chief Executive Officer
Robert J. Keegan. "We are confident that he will contribute
significantly to Goodyear's continued growth."
Mr. Firestone is an executive vice president of Xerox
Corporation and has led the company's North American operations
since 2004. He has also served as head of Xerox's channels
group and was the company's chief strategy officer.
Before joining Xerox in 1998, Mr. Firestone worked for the IBM
Corporation as general manager of the Consumer Division and for
the Ameritech Corporation as president of Consumer Services. He
began his business career in 1978 with American Express, where
during his 15-year tenure he ultimately rose to President,
Travelers Cheques.
Mr. Firestone holds a Bachelor of Science Degree in
international economics from Georgetown University School of
Foreign Service and a Master of public and private management
from the Yale University School of Management.
The election of Firestone brings the size of Goodyear's board to
13 members.
About Goodyear
Headquartered in Akron, Ohio, The Goodyear Tire & Rubber Company
(NYSE: GT) -- http://www.goodyear.com/-- is the world's largest
tire company. The company manufactures tires, engineered rubber
products and chemicals in more than 90 facilities in 28
countries. Goodyear Tire has marketing operations in almost
every country around the world including Chile, Colombia,
Guatemala, Jamaica and Peru in Latin America. Goodyear employs
more than 80,000 people worldwide.
* * *
As reported in the Troubled Company Reporter on June 4, 2007,
Standard & Poor's Ratings Services raised its ratings on
Goodyear Tire & Rubber Co., including its corporate credit
rating to 'BB-' from 'B+'. In addition, the ratings were
removed from CreditWatch where they were placed with positive
implications on May 10, 2007.
=====================
P U E R T O R I C O
=====================
AFC ENTERPRISES: Frank Belatti Retires as Board's Chairperson
-------------------------------------------------------------
AFC Enterprises, Inc. has announced the retirement of Frank J.
Belatti as Chairperson of the Board of Directors and appointed
John M. Cranor as new the Chairperson.
Mr. Belatti, who is retiring as Chairperson, founded AFC
Enterprises in 1992 and served as the Chief Executive Officer
from 1992-2005. Mr. Belatti was instrumental in the growth of
the company's portfolio of brands, its initial public offering
in March 2001, and the subsequent strategic divestitures of the
company's Church's Chicken, Cinnabon and Seattle Coffee Company
brands, leading to its current stand alone ownership of Popeyes
Chicken & Biscuits. Mr. Belatti will now assume a full time
role as Managing Partner, Equicorp Partners, LLC, an Atlanta
based investment firm. Mr. Belatti also serves as an adjunct
professor at the Mendoza College of Business at the University
of Notre Dame where he teaches Microventuring, as part of the
Gigot Center Social Entrepreneurship Initiative.
Mr. John Cranor, a member of the AFC Board since November 2006,
has been appointed to succeed Mr. Belatti as Chairperson of the
Board of Directors. Previously, Mr. Cranor served as
Chairperson, President and Chief Executive Officer of Long John
Silver's Restaurants, Inc., a position he held from 1996-1999.
Prior to that, Mr. Cranor was President and CEO of KFC
Corporation from 1989-1994. Mr. Cranor has more than 30-years
of management experience in the food service and retail
industries including senior executive positions with Pepsi-Cola
North America, Taco Bell Corporation, Wilson Sporting Goods, and
Frito-Lay Company. Since 2003, Mr. Cranor has also served as
the President and CEO of the New College Foundation, affiliated
with New College of Florida in Sarasota. Mr. Cranor holds a
Bachelor's of Arts degree from New College of Florida and a
Master's of Business Administration from Harvard University.
"After 15 years building a successful enterprise, I will miss
AFC, especially all the wonderful and talented people throughout
the organization. I am proud to have John as our new
Chairperson. John is a highly regarded leader with substantial
experience in the food industry. His expertise in our quick
service sector will be of great benefit to the Popeyes brand.
We have great confidence in his ability to work with our new
CEO, Cheryl Bachelder, to lead the company to future growth,"
stated Mr. Belatti.
About AFC Enterprises Inc.
Headquartered in Atlanta, Georgia, AFC Enterprises Inc. (NASDAQ:
AFCE) -- http://www.afce.com/-- owns, operates and franchises
Popeyes Chicken & Biscuits quick service restaurants. As of
July 15, 2007, AFC owned and operated 61 restaurants and
franchised 1,817 restaurants in 44 states, the District of
Columbia, Puerto Rico, Guam and 23 foreign countries. The
Popeyes concept features a New Orleans Cajun-style menu, with
regional items such as spicy fried chicken pieces, chicken
sandwiches and strips, fried shrimp, jambalaya and red beans &
rice.
* * *
As reported in the Troubled Company Reporter-Latin America on
Sept. 26, 2007, Moody's Investors Service changed AFC
Enterprises Inc.'s rating outlook to stable from positive.
Concurrently, Moody's affirmed all the debt ratings of AFC,
including its B1 corporate family rating and probability of
default rating at B2, while upgrading the senior secured credit
facilities rating to Ba3 from B1.
APARTMENT INVESTMENT: Declares Dividends on Preferred Stock
-----------------------------------------------------------
On Dec. 2, 2007, Apartment Investment & Management Co. Board of
Directors has declared dividends on shares of its Class G, T, U,
V and Y Cumulative Preferred Stock with dividend information as:
Class of Per Share
Preferred Start of End of Dividend
Stock Dividend Period Dividend Period Declared
--------- --------------- --------------- ---------
9.375% Class G Pref. Oct. 15, 2007 Dec. 14, 2007 US$0.5859375
8.000% Class T Pref. Oct. 15, 2007 Dec. 14, 2007 US$0.50
7.750% Class U Pref. Oct. 15, 2007 Dec. 14, 2007 US$0.484375
8.000% Class V Pref. Oct. 15, 2007 Dec. 14, 2007 US$0.50
7.875% Class Y Pref. Oct. 15, 2007 Dec. 14, 2007 US$0.49219
Dividends on shares of Class G, T, U, V and Y Cumulative
Preferred Stock are payable on Jan. 15, 2008, to shareholders of
record on Jan. 1, 2008.
Headquartered in Denver, Colorado, Aimco (NYSE: AIV) is a real
estate investment trust that owns and operates a geographically
diversified portfolio of apartment communities through 19
regional operating centers. Aimco, through its subsidiaries,
operates 1,320 properties, including approximately 230,000
apartment units, and serves approximately one million residents
each year. Aimco's properties are located in 47 states, the
District of Columbia and Puerto Rico.
* * *
As reported in the Troubled Company Reporter-Latin America on
Sept. 26, 2007, Fitch Ratings has affirmed the following ratings
on Apartment Investment & Management Company (AIMCO):
AIMCO
-- Issuer Default Rating at 'BBB-';
-- US$823.5 million preferred stock at 'BB+'.
AIMCO Properties L.P.
-- US$1.125 billion bank credit facility at 'BBB-'.
Fitch said the rating outlook is stable.
CENTENNIAL COMM: Names Michael Coltrane as New Director on Board
----------------------------------------------------------------
Centennial Communications Corp. has expanded its board of
directors from ten members to eleven members and appointed
Michael R. Coltrane as a new director.
Mr. Coltrane was formerly the chairman, president and chief
executive officer for CT Communications, Inc., an integrated
telecommunications provider in North Carolina that was acquired
in August 2007 by Windstream Corporation. Prior to joining CT
Communications in 1988, he was the executive vice president of
First Charter Corporation, a regional banking and financial
services company. Mr. Coltrane has also served as the chairman,
vice chairman and secretary of the United States Telecom
Association.
"I'm delighted to again expand our board and welcome Mike to the
Centennial family," said Michael J. Small, Centennial's chief
executive officer. "His decades of experience and insight will
be very valuable in guiding Centennial as we grow our business
in the rapidly changing and evolving telecommunications
industry."
Headquartered in Wall, New Jersey, Centennial Communications
Corp. (NASDAQ: CYCL) -- http://www.centennialwireless.com/--
provides regional wireless and integrated communications
services in the United States and the Puerto Rico with
approximately 1.1 million wireless subscribers and 387,500
access lines and equivalents. The US business owns and operates
wireless networks in the Midwest and Southeast covering parts of
six states. Centennial's Puerto Rico business owns and operates
wireless networks in Puerto Rico and the U.S. Virgin Islands and
provides facilities-based integrated voice, data and Internet
solutions. Welsh, Carson, Anderson & Stowe and an affiliate of
the Blackstone Group are controlling shareholders of Centennial.
* * *
As reported in the Troubled Company Reporter-Latin America on
July 13, 2007, Standard & Poor's Ratings Services raised its
ratings on Wall, New Jersey-based Centennial Communications
Corp., including the corporate credit rating, which was raised
to 'B' from 'B-'.
At Feb. 28, 2007, the company's balance sheet showed
USUS$1,393 million in total assets, USUS$2,482.8 million in
total liabilities, and USUS$3.9 million in minority interest in
subsidiaries, resulting in a USUS$1,093.7 million total
stockholders' deficit.
EDS CORP: Completes US$420-Million Buyout of Saber Corp.'s Stake
----------------------------------------------------------------
EDS Corp. has completed the acquisition of an approximate 93%
equity interest in Saber Corp., including majority shareholder
Accel-KKR.
As reported in the Troubled Company Reporter on Nov. 19, 2007,
EDS Corp. has agreed to purchase an approximate 93% equity
interest in Saber Holdings Inc., including majority shareholder
Accel-KKR, for approximately US$420 million in cash.
Saber's chief executive officer Nitin Khanna and president and
chief operating officer Karan Khanna will retain an approximate
7% interest in Saber and continue to lead the company after the
closing.
About Saber Holdings Inc.
Headquartered in Portland, Oregon, Saber Holdings Inc. --
http://www.sabercorp.com/-- is a privately held company that
has customer relationships with state and local government
entities across the country. Founded in 1997, the company
provides software and services that underpin essential functions
such as voter registration, election management, public
retirement programs, human services, public health services,
motor vehicles, unemployment insurance, and forms and document
processing.
About Accel-KKR
Accel-KKR - http://www.accel-kkr.com/-- is a technology-focused
private equity firm that invests in technology businesses.
Accel-KKR has a particular focus on the following transactions:
Recapitalizations of family-owned or closely-held private
companies, divisional buyouts of larger companies, and going-
private transactions.
About EDS Corp.
Based in Plano, Texas, Electronic Data System Corp. (NYSE: EDS)
-- http://www.eds.com/-- is a global technology services
company delivering business solutions to its clients. EDS
founded the information technology outsourcing industry more
than 40 years ago. EDS delivers a broad portfolio of
information technology and business process outsourcing services
to clients in the manufacturing, financial services, healthcare,
communications, energy, transportation, and consumer and retail
industries and to governments around the world.
EDS has locations in Argentina, Australia, Brazil, China, Chile,
Hong Kong, India, Japan, Malaysia, Mexico, Puerto Rico,
Singapore, Taiwan, Thailand and South Korea.
* * *
Moody's placed EDS Corp.'s senior unsecured debt rating at 'Ba1'
in July 2004, and its probability of default rating at 'Ba1' in
September 2006. Moody's said the outlook is positive. The
ratings still hold to date.
PILGRIM'S PRIDE: Declares US$2.25 Per Share Quarterly Dividend
--------------------------------------------------------------
Pilgrim's Pride Corporation Board of Directors has declared a
quarterly dividend of 2.25 cents per share. The quarterly
dividend is payable on Dec. 28, 2007, to shareholders of record
at the close of business on Dec. 14, 2007.
Headquartered in Pittsburgh, Texas, Pilgrim's Pride Corporation
(NYSE: PPC) -- http://www.pilgrimspride.com/-- produces,
distributes and markets poultry processed products through
retailers, foodservice distributors and restaurants in the U.S.,
Mexico and in Puerto Rico. Pilgrim's Pride employs about 40,000
people and has major operations in Texas, Alabama, Arkansas,
Georgia, Kentucky, Louisiana, North Carolina, Pennsylvania,
Tennessee, Virginia, West Virginia, Mexico and Puerto Rico, with
other facilities in Arizona, Florida, Iowa, Mississippi and
Utah.
* * *
Pilgrim's Pride Corp. carries Moody's Investors Service's B1
senior unsecured credit rating, B2 senior subordinated notes,
and Ba3 corporate family ratings. PPC's planned new US$250
million senior unsecured notes also bears Moody's B1 rating and
its new US$200 million senior subordinated notes bears Moody's
B2 rating. Moody's said the outlook on all ratings is stable.
Standard & Poor's Ratings Services gave Pilgrim's Pride Corp. a
'BB-' corporate credit rating.
=============
U R U G U A Y
=============
* URUGUAY: Reprts Cash Tender Offer for 10 International Bonds
--------------------------------------------------------------
The Republic of Uruguay has announced a cash tender offer for 10
series of outstanding international bonds denominated in USD and
Euros (international bonds), all maturing in or prior to 2012.
Uruguay reserves the right, in its sole discretion, not to
accept any or all tender offers, to terminate the Offer for any
reason and to select one or more series of eligible bonds to be
prorated on the basis of the same or different proration
factors, including if the aggregate principal amount of eligible
international bonds validly tendered in the Offer and not
withdrawn prior to the expiration time exceeds the equivalent of
US$200 million. The Offer is not conditioned upon any minimum
participation of any series of eligible bonds. The aggregate
outstanding principal amount of all bonds eligible to
participate in the Offer is equivalent to approximately US$436
million. Separately, Uruguay announced a cash tender offer for
24 series of domestic bonds denominated in UIs and USD (Local
Offer). The terms of the Offer with respect to the
international bonds are described in an offer document dated
Dec. 3, 2007. The terms of the Local Offer are described in a
Spanish-language document dated Dec. 3, 2007, made available in
Uruguay. The aggregate outstanding principal amount of all
bonds eligible to participate in the Local Offer is equivalent
to approximately US$1,545 million.
Each series of bonds is listed on the Luxembourg Stock Exchange.
Citi acts as Dealer Manager for the Offer and the Local Offer,
and Bondholder Communications Group, LLC acts as Information and
Tender Agent with respect to the Offer.
The expiration time for the Offer and the Local Offer is
Dec. 7, 2007. Settlement is currently expected to take place on
or about Dec. 17, 2007.
Holders of eligible bonds or their custodians may request a copy
of the offer document with respect to the Offer from Bondholder
Communications Group, LLC at 1-888-385-2663 (toll free number),
1-212-809-2663 (outside US), +44 20 7382 4580 (London),
http://www.bondcom.com/rou/
A holder of eligible international bonds entitled to participate
in the Offer, or the person acting on its behalf, must submit
tenders through a direct participant in DTC, Euroclear or
Clearstream, Luxembourg in the manner described in the offer
document related to the Offer.
* * *
As reported in the Troubled Company Reporter-Latin America on
May 8, 2007, Standard & Poor's Ratings Services revised its
outlook on Uruguay's 'B+' long-term sovereign credit rating to
positive from stable. The short-term sovereign credit rating is
'B'.
On Sept 11, 2006, Fitch rated Uruguay's US$400 million issue of
5% inflation-indexed bonds payable in U.S. dollars and maturing
Sept. 14, 2018, at 'B+'.
=================
V E N E Z U E L A
=================
* VENEZUELA: Bonds & Shares Surge as Voters Reject Reforms
----------------------------------------------------------
The recently concluded referendum in Venezuela, which asked its
citizens to approve material changes in the country's
constitution, showed that majority of those who voted were not
in favor of extending the term of its current president, Hugo
Chavez, and giving the leader control of the central bank,
Bloomberg News reports.
The country's bonds and shares gained in the stock market after
the referendum was peacefully concluded.
"It was a business-unfriendly package and the fact that it was
voted down is great," Greg Lesko, who helps manage US$1 billion
at Deltec Asset Management in New York, told Bloomberg. "There
is no question from a traditional standpoint that a `no' vote is
very positive for the outlook for the economy."
Bloomberg states that Venezuela's IBVC index rose 1,550.44, or
4.1 percent, to 39,677.19. Brazil's Bovespa index gained 193.69,
or 0.3 percent, to 63,199.85. Mexico's Bolsa index gained
198.01, or 0.7 percent, to 29,968.53.
Bloomberg adds that yield on the 9-1/4% dollar bonds due in 2027
fell 26 basis points, or 0.26 percentage point, to 9.11 percent,
according to JPMorgan Chase & Co. The yield has risen from 6.8%
at the end of last year. The bond's price, which moves
inversely to its yield, rose 2.35 cents, its biggest gain since
Aug. 22, to 101.25 cents at 5:37 p.m. in New York.
* * *
As reported in the Troubled Company Reporter-Latin America on
Nov. 15, 2007, Fitch Ratings assigned these ratings to the
Bolivarian Republic of Venezuela's bonds under the 'El
Venezolano I' combined offer:
-- US$750 million 30-year Eurobond, 7% coupon 'BB-';
-- VEB806.250 billion 7-year variable coupon bond 'BB-';
-- VEB806.250 billion 8-year, variable coupon bond 'BB-'.
***********
S U B S C R I P T I O N I N F O R M A T I O N
Troubled Company Reporter - Latin America is a daily newsletter
co-published by Bankruptcy Creditors' Service, Inc., Fairless
Hills, Pennsylvania, USA, and Beard Group, Inc., Frederick,
Maryland USA. Marjorie C. Sabijon, Sheryl Joy P. Olano, Rizande
de los Santos, and Pamella Ritah K. Jala, Editors.
Copyright 2007. All rights reserved. ISSN 1529-2746.
This material is copyrighted and any commercial use, resale or
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