TCRLA_Public/080111.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

            Friday, January 11, 2008, Vol. 8, Issue 8

                            Headlines




A R G E N T I N A

BANCO PATAGONIA: Cancels 258,300 Brazilian Depositary Receipts
BEST SERVICE: Trustee Verifies Proofs of Claim Until March 26
BOSTON SCIENTIFIC: S&P Ratings Unmoved by Affirmed Court Ruling
HELVENS SA: Trustee Verifies Proofs of Claim Until April 1
FORD MOTOR: Focused Talks Spur Tata Motors' High Bond Risk

INSTITUTO DE DIAGNOSTICO: Claims Verification Ends on March 7
OCRAL SA: Trustee Verifies Proofs of Claim Until April 3

* ARGENTINA: Gets IDB Okay to Invest Projects for US$300 Million


B A H A M A S

HARRAH'S ENTERTAINMENT: Prices Cash Tender Offer for Sr. Notes


B E R M U D A

INTELSAT LTD: Will Redeem US$860 Mln Floating Rate Senior Notes
INTELSAT LTD: Unison Capital Investing US$50 Million in Firm
SCOTTISH RE: Names David Carrick as Sr. VP for Group Controller


B O L I V I A

* BOLIVIA: Eyes El Mutun Development with China


B R A Z I L

BANCO DO BRASIL: Resumes Granting Loans to Agricultural Sector
BANCO NACIONAL: Grants BRL650-Million Loan to Alcoa Aluminio
BANCO NACIONAL: Okays BRL259-Million Funding for Brasil Telecom
BANCO PINE: To Repurchase Up to 2.72 Million Preferred Shares
BRASIL TELECOM: Secures BRL259-Mln Funding from Banco Nacional

DELPHI CORP: S&P Predicts B Corp. Credit Rating Upon Emergence
EL PASO CORP: Earns US$155 Million in 2007 Third Quarter
INGRAM MICRO: Distributes Fujitsu Biometric Systems for Novell
INGRAM MICRO: ITS Division Sells IBM System Storage Technology
TECH DATA: Reaches Distribution Agreement with FMAudit

* BRAZIL: Petrobras Launching NatGas Supply Talks with Copergas


C A Y M A N   I S L A N D S

CABLE & WIRELESS: Protest to End After Reaching Pact with Union
GLOBAL ALPHA: Proofs of Claim Filing Deadline Is Jan. 14
GOTHAM SELECT: Proofs of Claim Filing Deadline Is Jan. 14
GOTTBETTER CAPITAL: Proofs of Claim Filing Is Until Jan. 15
HINKLE CREEK: Proofs of Claim Filing Is Until Jan. 15

IFL CONTINUUM: Sets Final Shareholders Meeting for Jan. 14
INTCOM TRADING: Proofs of Claim Filing Deadline Is Jan. 14
LIBERTYVIEW PLUS: Proofs of Claim Filing Deadline Is Jan. 15
MERLIN BIOMED: Proofs of Claim Filing Is Until Jan. 14
MERLIN BIOMED OFFSHORE: Proofs of Claim Filing Ends on Jan. 14

MERLIN BIOMED INT'L: Proofs of Claim Filing Deadline Is Jan. 14
MQ ONE: Sets Final Shareholders Meeting for Jan. 15
P FINANCE: Will Hold Final Shareholders Meeting on Jan. 15
PANMAR FINANCE: Final Shareholders Meeting Is on Jan. 15
PARMALAT SPA: Parma Prosecutors Seek Trial for 10 Citibank Execs

PPLG LATIN: Proofs of Claim Filing Deadline Is Jan. 14
SHIKAKU FUNDING: Sets Final Shareholders Meeting for Jan. 15
SIGNUS TRADING: Proofs of Claim Filing Deadline Is Jan. 14
SUCCESSOR HURRICANE: Moody's Rates US$30-Mil Class C Notes at B
ULTIMA CAYMAN: Sets Final Shareholders Meeting for Jan. 15


C H I L E

EASTMAN KODAK: To Set Annual Strategy Meeting on Feb. 7
NOVA CHEMICALS: Plans for Ontario Polyethylene Asset Expansion
SHAW GROUP: Earns US$2.2 Million in Quarter Ended Nov. 30


C O L O M B I A

CUMMINS INC: Earns US$184 Million in 2007 Third Quarter
POLYONE CORP: Splits Polymer Coating Business Into Two Units


C O S T A   R I C A

* COSTA RICA: Strong Pineapple Sector Boosts Economy
* COSTA RICA: Obtains US$72.5 Million Financing from World Bank


D O M I N I C A N   R E P U B L I C

AFFILIATED COMPUTER: Purchases Syan Holdings for US$60 Million
GUESS? INC: Discloses Strong Same-Store Sales in Retail Business


E C U A D O R

DEL MONTE: Appoints Nils Lommerin as Chief Operating Officer
PETROECUADOR: Wood Mackenzie to Help Reorganize Firm


G U A T E M A L A

IMAX CORP: Moody's Changes Outlook; Affirms Junk Ratings
LAND O'LAKES: Announces Four Executive and Promotional Changes


J A M A I C A

SUGAR CO: Negotiating Team Mulling Eight Offers for Factories


M E X I C O

ALERIS INT'L: To Phase Out Toronto Coil Coating Facility
ALL AMERICAN: Creditors Committee Files Liquidating Plan
BANCO HIPOTECARIO: Past-Due Loan Ratio Increases 83.2% in Nov.
CONSTELLATION BRANDS: US$700MM Notes Exchange Offer Expires
CONSTELLATION BRANDS: UBS Keep Neutral Rating on Firm's Shares

GREENBRIER: DA Davidson Keeps Buy Rating on Firm's Shares
HASBRO INC: Plans to Improve Productivity in Massachusetts Plant
MOVIE GALLERY: Wants Court Approval on Cure Procedures
MOVIE GALLERY: Wants to Pursue Whitaker & Williams Litigations
MOVIE GALLERY: Wants to Reject Boards Inc. License Agreement

OPEN TEXT: USCI Selects Open Text's Accounts Payable System
X-RITE INC: Issues Employment Inducement Restricted Stock Awards


P E R U

GRAN TIERRA: Reports Production Exit Rate of 3,300 BOPD in 2007


P U E R T O   R I C O

ELECTRONIC DATA: Flemish Government Renews Pact w/ EDS-Telindus
HEALTHSOUTH CORP: Sept. 30 Balance Sheet Upside-Down by US$1.5BB
HORNBECK OFFSHORE: Purchases Superior Offshore's Support Vessel
RENT-A-CENTER: To Install 500 Diebold Express Cash Recyclers


T R I N I D A D   &   T O B A G O

DIRECTV: Increases Movie Channels in Trinidad & Tobago


U R U G U A Y

BANCO HIPOTECARIO: Past-Due Loan Ratio Increases 83.2% in Nov.

* URUGUAY: Moody's Says Outlook on Banks Remain Stable


V E N E Z U E L A

CHRYSLER LLC: Certified Pre-Owned Vehicle Sales Up 5% in 2007
PETROLEOS DE VENEZUELA: Expands El Palito Plant to Boost Output
PETROLEOS DE VENEZUELA: Cuts Int'l Oil Buyers' Payment Term
PETROLEOS DE VENEZUELA: Gas Unit to Add 110-Mln Cubic Ft. Output




                            - - - - -

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


BANCO PATAGONIA: Cancels 258,300 Brazilian Depositary Receipts
--------------------------------------------------------------
Banco Patagonia said in a statement that it has canceled 258,300
Brazilian depositary receipts on the Sao Paulo stock exchange
Bovespa in December 2007.

As reported in the Troubled Company Reporter-Latin America on
Dec. 13, 2007, Banco Patagonia said it canceled 107,900
Brazilian Depositary Receipts on the Sao Paulo stock exchange
Bovespa from Nov. 12 to Nov. 30.

Banco Patagonia had 5.77 million Brazilian Depositary Receipts
as of Dec. 31, 2007, Business News Americas states.

Banco Patagonia specializes in public offerings of
securitizations.  It became Argentina's fifth largest locally
owned private bank through its purchase of Lloyds TSB Argentina
in late 2004.  The bank operates through 139 branches and has
202 ATM machines.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
May 4, 2007, Moody's Investors Service upgraded Banco Patagonia
SA's local currency deposit rating is upgraded to Ba1 from Ba3.
Moody's confirmed that it raised its bank financial strength
rating on Banco Patagonia to D from E+, in connection with the
rating agency's implementation of its refined joint default
analysis and updated BFSR methodologies for banks in Argentina.
Its foreign currency deposit rating was affirmed at Caa1, with
positive outlook.  The company's long-term Argentine national
scale rating for local currency deposits is raised to Aa1.ar
from Aa2.ar. and its long term foreign currency deposit rating
in national scale was affirmed at Ba1.ar.  The foreign currency
subordinated debt rating was upgraded to B2 from Caa1.  The
outlook on the debt rating was positive.  The national scale
rating for foreign currency subordinated debt was raised to
Aa3.ar from Ba1.ar.


BEST SERVICE: Trustee Verifies Proofs of Claim Until March 26
-------------------------------------------------------------

Marcelo Carlos Rodriguez, the court-appointed trustee for The
Best Service S.A.'s reorganization proceeding, verifies
creditors' proofs of claim until March 26, 2008.

Mr. Rodriguez will present the validated claims in court as
individual reports on May 9, 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 The Best Service 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 The Best Service's
accounting and banking records will be submitted in court on
June 23, 2008.

Creditors will vote to ratify the completed settlement plan
during the assembly on Dec. 4, 2008.

The trustee can be reached at:

        Marcelo Carlos Rodriguez
        Cerrito 146
        Buenos Aires, Argentina


BOSTON SCIENTIFIC: S&P Ratings Unmoved by Affirmed Court Ruling
---------------------------------------------------------------
Boston Scientific Corp. announced that the Court of Appeals for
the Federal Circuit affirmed a District Court ruling that found
the NIR stent infringed one claim of a patent owned by
Johnson & Johnson.  Standard & Poor's Ratings Services' says
that this does not affect its ratings or outlook for Boston
Scientific.

Boston Scientific's corporate credit rating is rated 'BB+' by
S&P with a negative outlook.

The District Court must now rule on Johnson & Johnson's request
for the reinstatement of damages of US$324 million.  Also, the
company has not indicated that it will appeal this decision, but
noted that the District court may need to revisit the issue of
validity in light of a revised claim construction.  As a result,
the amount and timing of a potential payment by Boston
Scientific are unknown.  To some degree, the financial
uncertainty of litigation is factored into the rating.  Boston
Scientific, like many of its peers, is involved in several
patent and product liability lawsuits.  The company has both
initiated litigation and been subject to challenges by other
companies, and such proceedings can be protracted.

Boston Scientific continues to make progress in reducing its
debt burden; adjusted debt to EBITDA declined to 3.8x for the 12
months ended Sept. 30, 2007, from 4.1x at the end of the second
quarter of 2007.  Cash was US$1.2 billion at the end of the
second quarter, and proceeds from recently announced asset
divestitures should provide the means for further debt
reduction.

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

                       *     *     *

As reported in the Troubled Company Reporter-Latin America on
Oct. 24, 2007, Standard & Poor's Ratings Services affirmed its
ratings on Boston Scientific Corp., including the 'BB+'
corporate credit rating, and removed them from CreditWatch,
where they were placed with negative implications Aug. 3, 2007.
S&P said the rating outlook is negative.


HELVENS SA: Trustee Verifies Proofs of Claim Until April 1
----------------------------------------------------------
Luis Maria Rementeria, the court-appointed trustee for Helvens
S.A.'s reorganization proceeding, verifies creditors' proofs of
claim until April 1, 2008.

Mr. Rementeria will present the validated claims in court as
individual reports on May 15, 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 Helvens 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 Helvens' accounting
and banking records will be submitted in court on June 27, 2008.

Creditors will vote to ratify the completed settlement plan
during the assembly on Oct. 29, 2008.

The trustee can be reached at:

        Luis Maria Rementeria
        Piedras 1319
        Buenos Aires, Argentina


FORD MOTOR: Focused Talks Spur Tata Motors' High Bond Risk
----------------------------------------------------------
Tata Motors Ltd.'s bond risk rose to a record with credit-
default swaps on the company reaching 325 basis points Tuesday
morning from 300 basis points last week, The Economic Times
reports.

According to the report, the increase of the risk of the Tata
Motors defaulting on its bonds was brought about by the concern
that it will borrow to fund its acquisition of Ford Motor Co's
Jaguar and Land Rover brands.

As reported in the Troubled Company Reporter on Jan. 4, 2008,
Lewis Booth, executive vice president for Ford of Europe and
Premier Automotive Group (Chairman - Jaguar, Land Rover, Volvo
and Ford of Europe) said that Ford has entered into "focused
negotiations at a more detailed level" with Tata Motors,
signaling that the Indian carmaker has become the preferred
bidder for the two brands.

"It may not be a good time for Tata to enter into such a deal
given the state of the credit market," ET quotes Aaron Low, a
principal in Singapore at hedge fund Lumen Advisers as saying.

The Ford negotiations cued rating agencies to place Tata Motors
credit ratings on negative watch.

                       About Tata Motors

India's largest automobile company, Tata Motors Limited --
http://www.tatamotors.com/-- is mainly engaged in the business
of automobile products consisting of all types of commercial and
passenger vehicles, including financing of the vehicles sold by
the Company.  The Company's operating segments consists of
Automotive and Others.  In addition to its automotive products,
it offers construction equipment, engineering solutions and
software operations.

Tata Motors has operations in Russia and the United Kingdom.

                          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.


INSTITUTO DE DIAGNOSTICO: Claims Verification Ends on March 7
-------------------------------------------------------------
Jorge Fernando Podhorzer, the court-appointed trustee for
Instituto de Diagnostico Nicolas Avellaneda S.A.'s bankruptcy
proceeding, verifies creditors' proofs of claim until March 7,
2008.

Mr. Podhorzer will present the validated claims in court as
individual reports on April 23, 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 Instituto de Diagnostico and its creditors.

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

A general report that contains an audit of Instituto de
Diagnostico's accounting and banking records will be submitted
in court on June 5, 2008.

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

The trustee can be reached at:

         Jorge Fernando Podhorzer
         Pasaje del Carmen 716
         Buenos Aires, Argentina


OCRAL SA: Trustee Verifies Proofs of Claim Until April 3
--------------------------------------------------------
Ernesto Horacio Garcia, the court-appointed trustee for Ocral
S.A.'s reorganization proceeding, verifies creditors' proofs of
claim until April 3, 2008.

Mr. Garcia will present the validated claims in court as
individual reports on May 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 Ocral and its creditors.

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

A general report that contains an audit of Ocral's accounting
and banking records will be submitted in court on June 23, 2008.

The trustee can be reached at:

        Ernesto Horacio Garcia
        Sarmiento 1587
        Buenos Aires, Argentina


* ARGENTINA: Gets IDB Okay to Invest Projects for US$300 Million
----------------------------------------------------------------
The Inter-American Development Bank has approved a US$300
million 15-year conditional credit line for investment projects
and a first US$100 million loan within this CCLIP to the
Argentine National Agrifood Health and Quality Service (SENASA
in Spanish) to strengthen and expand the country's capacity to
protect and improve agricultural, agrifood and fisheries health
and quality.

Argentina's agricultural sector has experienced steady growth in
recent years.  In this context, SENASA has focused on a
transformation process towards a new agrifood health and quality
model based on risk prevention, active involvement of agrifood-
chain stakeholders, institutional coordination and decision
making based on technical know-how and international standards.
SENASA is the agency that regulates agricultural health in the
country.

This transformation process calls for sustained action with a
long-term plan to modernize management, including
decentralization of operations to the regions to improve user
services and coordination with provincial, municipal and
private sector entities.  In the first stages, measures financed
by the first loan will focus on setting up five of 14 regional
centers, as well as four regional laboratories.

"International experience has shown that sanitary programs to
eradicate pests and diseases, mainly for fruits and vegetables
in different regions, require up to 10 to 15 years to be
effective, a timeframe that exceeds the duration of investment
projects," said IDB team leader Adriana Delgado.  "A CCLIP is
therefore a particularly appropriate tool for addressing
agrifood health and quality, since it allows for effective
support and long-term continuity in a key sector for
development,"added Ms. Delgado.

The first program will cover the modernization of institutional
management, the strengthening of the animal and plan health
systems and the agrifood safety system, and the regional
multilateral integration for agricultural health.

The loan, guaranteed by the Argentine Government, is for a 25-
year term with a five-year grace period and follows the IDB
2004-2008 strategy agreed with Argentine authorities to promote
competitiveness in the context of the country's agricultural
development policy.  Local counterpart funds for the loan total
US$43 million.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
Dec. 26, 2007, Standard & Poor's Ratings Services assigned B+
long-term sovereign local and foreign currency ratings and B
short-term sovereign local and foreign long-term ratings on
Argentina.

Standard & Poor's also placed 4 sovereign foreign currency
recovery rating and a BB transfer and convertibility assessment
rating.  S&P said the outlook for these ratings is stable.

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


HARRAH'S ENTERTAINMENT: Prices Cash Tender Offer for Sr. Notes
--------------------------------------------------------------
Harrah's Entertainment Inc. disclosed the consideration to be
paid in its cash tender offer and consent solicitation for any
and all of the outstanding:

   (i) 8.875% Senior Subordinated Notes due 2008 (CUSIP No.
       700690AJ9; ISIN No. US700690AJ90);

  (ii) 7.5% Senior Notes due 2009 (CUSIP No. 413627AE0;
       ISIN No. US413627AE02);

(iii) 7.5% Senior Notes Due 2009 (CUSIP No. 700690AN0; ISIN
       No. US700690AN03); and

  (iv) 7% Senior Notes due 2013 (CUSIP No. 700690AS9; ISIN No.
       US700690AS99), commenced by Harrah's Operating Company
       Inc., a subsidiary of Harrah's Entertainment.

The total consideration for each series of the Notes was
determined as of 2:00 p.m., New York City time, on Jan. 8, 2008,
by reference to a fixed spread of 50 basis points above the
yield to maturity of the applicable U.S. security.

The reference yield for the 8.875% Notes was 3.214%; the
reference yield for the 7.5% Notes (1998) was 2.920%; the
reference yield for the 7.5% Notes (2001) was 2.869%; and the
reference yield for the 7% Notes was 3.197%.

The total consideration per US$1,000 principal amount of each
series of the Notes that were validly tendered by
5:00 p.m., New York City time, on Jan. 7, 2008 is:

   -- US$1,032.35 for the 8.875% Notes;
   -- US$1,038.78 for the 7.5% Notes (1998);
   -- US$1,063.88 for the 7.5% Notes (2001); and
   -- US$1,155.56 for the 7% Notes, which in each case, includes
      a cash consent payment of $30.

Holders who tender their Notes and deliver their consents after
the Consent Payment Deadline, but prior to the Offer Expiration
Date will receive the applicable tender offer consideration,
which consists of the applicable Total Consideration less the
cash consent payment of US$30 per US$1,000 principal amount of
tendered Notes.

All holders of Notes validly tendered prior to the Offer
Expiration Date will receive accrued and unpaid interest on
their tendered Notes up to, but not including, the payment date
for the tender offer and consent solicitation.

As a result of the receipt of the requisite consents to adopt
the proposed amendments to the applicable indentures pursuant to
which each series of the Notes was issued,

   (i) the Third Supplemental Indenture among Harrah's
       Entertainment, Harrah's Operating and Wells Fargo Bank,
       National Association, as trustee for the Holders of the
       8.875% Notes;

  (ii) the Second Supplemental Indenture among Harrah's
       Entertainment, Harrah's Operating and Bank of New York
       Mellon Global Corporate Trust, as trustee for the
       Holders of the 7.5% Notes (1998);

(iii) the Third Supplemental Indenture among Harrah's
       Entertainment, Harrah's Operating and Wells Fargo, as
       trustee for the Holders of the 7.5% Notes (2001); and

  (iv) the Third Supplemental Indenture among Harrah's
       Entertainment, Harrah's Operating and U.S. Bank National
       Association, as trustee for the Holders of the 7% Notes,
       have been executed.

The proposed amendments, which will eliminate substantially all
of the restrictive covenants and eliminate or modify certain
events of default and related provisions contained in each
applicable indenture, will become operative when the tendered
Notes are accepted by purchase by Harrah's Entertainment and
Harrah's Operating.

The tender offer and consent solicitation remains open and is
scheduled to expire at 8:00 a.m. New York City time, on
Jan. 23, 2008, unless extended.

Harrah's Operating's tender offer is subject to the conditions
set forth in the Statement and the related Consent and Letter of
Transmittal, including, among other things, that Harrah's
Operating obtains the financing necessary to pay for the Notes
and consents in accordance with the terms of the tender offers
and consent solicitations.

Harrah's Operating and Harrah's Entertainment have retained Citi
to act as lead dealer manager in connection with the tender
offers and consent solicitations.  Questions about the tender
offers and consent solicitations may be directed to Citi at
(800) 558-3745 (toll free) or (212) 723-6106 (collect).

Copies of the Offer Documents and other related documents may be
obtained from Global Bondholder Services Corporation, the
information agent for the tender offers and consent
solicitations, at (866) 924-2200 (toll free) or (212) 430-3774
(for banks and brokers only).

                About Harrah's Entertainment Inc.

Headquartered in Las Vegas, Nevada, Harrah's Entertainment Inc.
(NYSE: HET) -- http://www.harrahs.com/-- has grown through
development of new properties, expansions and acquisitions, and
now owns or manages casino resorts on four continents and hosts
over 100 million visitors per year.  The company's properties
operate under the Harrah's, Caesars and Horseshoe brand names;
Harrah's also owns the London Clubs International family of
casinos and the World Series of Poker. Harrah's also owns the
London Clubs International family of casinos.  In January, it
signed a joint venture agreement with Baha Mar Resorts Ltd. to
operate a resort in Bahamas.

                         *     *     *

Harrah's Entertainment Inc. continues to carry Standard & Poor's
"BB" long term foreign and local issuer credit ratings, which
were placed in December 2006.




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


INTELSAT LTD: Will Redeem US$860 Mln Floating Rate Senior Notes
---------------------------------------------------------------
Intelsat, Ltd., as requested by new investors, will redeem all
of its outstanding US$260 million Floating Rate Senior Notes due
2013 and US$600 million Floating Rate Senior Notes due 2015.
The redemption of the notes is conditioned upon consummation of
the acquisition of Intelsat Holdings, Ltd. -- the indirect
parent of Intelsat (Bermuda), Ltd. -- by affiliates of funds
advised by BC Partners Holdings Limited, Silver Lake and certain
other investors and the receipt from the new investors of
sufficient moneys to effect the redemption.

Intelsat issued a notice of redemption for each of the
indentures for the 2013 and the 2015 notes.  Intelsat said that
it will redeem all of those notes on Feb. 7, 2008.  The
redemption date may be extended.

The redemption price for the 2013 Notes will be equal to 100% of
the principal amount of the 2013 Notes plus a premium determined
in accordance with the indenture for the 2013 Notes and accrued
and unpaid interest thereon to the redemption date.  The
redemption price for the 2015 Notes will be equal to 102% of the
principal amount of the 2015 Notes plus accrued and unpaid
interest thereon to the redemption date.

Headquartered in Bermuda, Intelsat, is the largest fixed
satellite service operator in the world and is owned by Apollo
Management, Apax Partners, Madison Dearborn, and Permira.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
June 22, 2007, Moody's Investors placed the long-term debt
ratings of the Intelsat Ltd. group of companies on review for
possible downgrade.

Issuer: Intelsat (Bermuda), Ltd.

  -- Senior Unsecured Bank Credit Facility, Placed on Review for
     Possible Downgrade, currently B2

  -- Senior Unsecured Regular Bond/Debenture, Placed on Review
     for Possible Downgrade, currently Caa1

Issuer: Intelsat Corporation

  -- Senior Secured Bank Credit Facility, Placed on Review for
     Possible Downgrade, currently Ba2

  -- Senior Secured Regular Bond/Debenture, Placed on Review for
     Possible Downgrade, currently Ba2

  -- Senior Unsecured Regular Bond/Debenture, Placed on Review
     for Possible Downgrade, currently B2

Issuer: Intelsat Holding Corporation

  -- Senior Unsecured Regular Bond/Debenture, Placed on Review
     for Possible Downgrade, currently Caa1

Issuer: Intelsat Intermediate Holding Company, Ltd.

  -- Senior Unsecured Regular Bond/Debenture, Placed on Review
     for Possible Downgrade, currently B3

Issuer: Intelsat Subsidiary Holding Co. Ltd.

  -- Senior Secured Bank Credit Facility, Placed on Review for
     Possible Downgrade, currently Ba2

  -- Senior Unsecured Regular Bond/Debenture, Placed on Review
     for Possible Downgrade, currently B2

Issuer: Intelsat, Ltd.

  -- Probability of Default Rating, Placed on Review for
     Possible Downgrade, currently B2

  -- Corporate Family Rating, Placed on Review for Possible
     Downgrade, currently B2

  -- Senior Unsecured Regular Bond/Debenture, Placed on Review
     for Possible Downgrade, currently Caa1

Outlook Actions:

Issuer: Intelsat, Ltd.

  -- Outlook, Changed To Rating Under Review From Stable

As reported in the Troubled Company Reporter-Latin America on
June 22, 2007, Fitch Ratings placed these Intelsat Ltd. ratings
on Rating Watch Negative:

    -- Issuer Default Rating 'B';
    -- Senior unsecured notes 'CCC/RR6'.

Fitch also placed the ratings of Intelsat's subsidiaries on
Rating Watch Negative.

Fitch placed these ratings of Intelsat subsidiaries on Rating
Watch Negative:

Intelsat (Bermuda), Ltd.

    -- Issuer Default Rating 'B';
    -- Senior unsecured guaranteed notes 'BB-/RR2';
    -- Guaranteed Term Loan 'BB-/RR2';
    -- Senior unsecured non-guaranteed notes 'CCC+/RR6'.

Intelsat Intermediate Holding Company, Ltd. (Int Holdco)

    -- Issuer Default Rating 'B';
    -- Senior unsecured discount notes 'B-/'RR5'.

Intelsat Subsidiary Holding Company, Ltd. (Sub Holdco)

    -- Issuer Default Rating 'B';
    -- Senior secured credit facilities 'BB/RR1';
    -- Senior unsecured notes 'BB-/RR2'.

Intelsat Corporation (f/k/a PanAmSat Corporation)

    -- Issuer Default Rating (IDR) 'B';
    -- Senior secured credit facilities 'BB/RR1';
    -- Senior secured notes 'BB/RR1';
    -- Senior unsecured notes 'B/RR4'.

As reported in the Troubled Company Reporter-Latin America on
June 21, 2007, Standard & Poor's Ratings Services lowered its
ratings on Pembroke, Bermuda-based Intelsat Ltd. and affiliated
entities, including the corporate credit rating, which was
lowered to 'B+' from 'BB-'.  All ratings were immediately placed
on CreditWatch with negative implications.


INTELSAT LTD: Unison Capital Investing US$50 Million in Firm
------------------------------------------------------------
Intelsat Ltd. will get US$50 million investment from Japanese
private equity firm Unison Capital to help its expansion plans
in Asia, financial sources told Alison Tudor at Reuters.

Unison Capital would help Intelsat expand in Asia through
organic growth and acquisition, Reuters notes.

Reuters relates that since British buyout firm BC Partners
bought 76% of Intelsat for US$4.6 billion in June 2007, other
funds have been invited to invest in Intelsat.

A source told Reuters that US private equity firm Silver Lake
would also join the consortium.

Reuters states that BC Partners is purchasing the majority stake
in Intelsat from the private equity owners:

          -- Apax Partners,
          -- Permira,
          -- Apollo Management, and
          -- Madison Dearborn Partners.

BC Partners will keep the remaining 24% stake in Intelsat,
Reuters states.

                     About Unison Capital

Unison Capital was established in 1998.  It is a pioneer of
private equity investment in Japan.  It helps implement
sustainable, long-term business growth strategies.

                        About Intelsat

Headquartered in Bermuda, Intelsat, is the largest fixed
satellite service operator in the world and is owned by Apollo
Management, Apax Partners, Madison Dearborn, and Permira.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
June 22, 2007, Moody's Investors placed the long-term debt
ratings of the Intelsat Ltd. group of companies on review for
possible downgrade.

Issuer: Intelsat (Bermuda), Ltd.

  -- Senior Unsecured Bank Credit Facility, Placed on Review for
     Possible Downgrade, currently B2

  -- Senior Unsecured Regular Bond/Debenture, Placed on Review
     for Possible Downgrade, currently Caa1

Issuer: Intelsat Corporation

  -- Senior Secured Bank Credit Facility, Placed on Review for
     Possible Downgrade, currently Ba2

  -- Senior Secured Regular Bond/Debenture, Placed on Review for
     Possible Downgrade, currently Ba2

  -- Senior Unsecured Regular Bond/Debenture, Placed on Review
     for Possible Downgrade, currently B2

Issuer: Intelsat Holding Corporation

  -- Senior Unsecured Regular Bond/Debenture, Placed on Review
     for Possible Downgrade, currently Caa1

Issuer: Intelsat Intermediate Holding Company, Ltd.

  -- Senior Unsecured Regular Bond/Debenture, Placed on Review
     for Possible Downgrade, currently B3

Issuer: Intelsat Subsidiary Holding Co. Ltd.

  -- Senior Secured Bank Credit Facility, Placed on Review for
     Possible Downgrade, currently Ba2

  -- Senior Unsecured Regular Bond/Debenture, Placed on Review
     for Possible Downgrade, currently B2

Issuer: Intelsat, Ltd.

  -- Probability of Default Rating, Placed on Review for
     Possible Downgrade, currently B2

  -- Corporate Family Rating, Placed on Review for Possible
     Downgrade, currently B2

  -- Senior Unsecured Regular Bond/Debenture, Placed on Review
     for Possible Downgrade, currently Caa1

Outlook Actions:

Issuer: Intelsat, Ltd.

  -- Outlook, Changed To Rating Under Review From Stable

As reported in the Troubled Company Reporter-Latin America on
June 22, 2007, Fitch Ratings placed these Intelsat Ltd. ratings
on Rating Watch Negative:

    -- Issuer Default Rating 'B';
    -- Senior unsecured notes 'CCC/RR6'.

Fitch also placed the ratings of Intelsat's subsidiaries on
Rating Watch Negative.

Fitch placed these ratings of Intelsat subsidiaries on Rating
Watch Negative:

Intelsat (Bermuda), Ltd.

    -- Issuer Default Rating 'B';
    -- Senior unsecured guaranteed notes 'BB-/RR2';
    -- Guaranteed Term Loan 'BB-/RR2';
    -- Senior unsecured non-guaranteed notes 'CCC+/RR6'.

Intelsat Intermediate Holding Company, Ltd. (Int Holdco)

    -- Issuer Default Rating 'B';
    -- Senior unsecured discount notes 'B-/'RR5'.

Intelsat Subsidiary Holding Company, Ltd. (Sub Holdco)

    -- Issuer Default Rating 'B';
    -- Senior secured credit facilities 'BB/RR1';
    -- Senior unsecured notes 'BB-/RR2'.

Intelsat Corporation (f/k/a PanAmSat Corporation)

    -- Issuer Default Rating (IDR) 'B';
    -- Senior secured credit facilities 'BB/RR1';
    -- Senior secured notes 'BB/RR1';
    -- Senior unsecured notes 'B/RR4'.

As reported in the Troubled Company Reporter-Latin America on
June 21, 2007, Standard & Poor's Ratings Services lowered its
ratings on Pembroke, Bermuda-based Intelsat Ltd. and affiliated
entities, including the corporate credit rating, which was
lowered to 'B+' from 'BB-'.  All ratings were immediately placed
on CreditWatch with negative implications.


SCOTTISH RE: Names David Carrick as Sr. VP for Group Controller
---------------------------------------------------------------
Scottish Re Group Limited has appointed David Carrick as Senior
Vice President, Group Controller, effective Jan. 1, 2008.  Mr.
Carrick is based at the company's Hamilton, Bermuda,
headquarters, reporting to Terry Eleftheriou, Scottish Re Group
Limited Executive Vice President and Chief Financial Officer.

Mr. Carrick's career extends over eighteen years of senior
finance and controllership roles with international
corporations.  Most recently, Mr. Carrick was the Director of
Finance for Tyco International, Ltd, where he was responsible
for all of the finance functions of Tyco's Dublin, Luxembourg,
and Bermuda offices, including treasury and operations support.
Prior to Tyco, Mr. Carrick spent over six years with the Bank of
Bermuda/HSBC where he held the position of Head of Global
Financial Reporting with responsibility for maintaining all
aspects of financial and regulatory reporting for the bank.  Mr.
Carrick's career also included strategic roles at Bacardi
Capital Limited and KPMG.

Mr. Carrick received a BA from Heriot Watt University, in
Edinburgh, Scotland with a specialization in Accounting and
Finance.  Additionally, Mr. Carrick is a member of the Institute
of Charter Accountants of Scotland.

In his role as Group Controller, Mr. Carrick will be responsible
for oversight of the corporate financial reporting and
controllership activities based in Bermuda and other key
locations.  He will also oversee internal financial controls
important to the integrity of internal and external
communications, safeguarding of assets and mitigation of risk,
including compliance activities related to annual and quarterly
certifications in accordance with Sarbanes-Oxley.  Mr. Carrick
will be an integral part of the corporate finance team and will
liaise closely with the segment finance, tax, investments,
treasury, investor relations and audit functions of Scottish Re.

"We are very pleased to have David join Scottish Re in this new
role of Group Controller," stated Terry Eleftheriou.  "David's
experience in global control practices and financial reporting
will be an asset to the organization as we continue to upgrade
and streamline our financial processes and enhance our internal
financial controls."

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

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
Nov. 15, 2007, Moody's Investors Service has affirmed the
ratings of Scottish Re Group Limited's senior unsecured shelf of
(P)Ba3 and changed the outlook to negative from stable.




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


* BOLIVIA: Eyes El Mutun Development with China
-----------------------------------------------
The government of Bolivia is in talks with China for developing
El Mutun iron ore mines in the country, various reports say.

The Metal Bulletin relates that "Bolivia and China have held
preliminary talks about the possibility of a Chinese company
developing 50 per cent of El Mutun iron ore deposits in the
German Busch province of Bolivia's Santa Cruz department."

According to the report, Bolivian mining and metallurgy minister
Albert Echazu made discussion during its China and Korea
visitation last month.  However, no formal proposal from either
side was mentioned.

The Economic Times states that Bolivian Congress ratified a
concession contract recently with Jindal Steel Bolivia, a Jindal
Steel and Power Limited subsidiary, in which the company has to
start working on developing its part of the mines.

In July 2007, JSPL entered a US$2.1-billion contract that will
exploit 50% of El Mutun deposits for 40 years.  Under the deal,
Jindal would install a 1.5 million tonne direct reduced iron
plant which will feed 1.4 million tonne per year flat products
steelworks, the same journal adds.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
Dec. 26, 2007, Standard & Poor's Ratings Services has assigned
B- long-term sovereign local and foreign currency ratings and C
short-term sovereign local and foreign currency ratings on
Bolivia.




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


BANCO DO BRASIL: Resumes Granting Loans to Agricultural Sector
--------------------------------------------------------------
Brazilian government news agency Agencia Brasil reports that
Banco do Brasil has resumed the granting of agricultural loans.

Business News Americas relates that Banco do Brasil temporarily
suspended granting agricultural loans on Jan. 4, 2007, after the
government increased taxes on loans.  The government "charged
the IOF financial operations tax of 0.38% on loans to
agricultural producers, part of a tax package meant to help make
up for BRL40 billion in lost annual revenue from the
discontinued CPMF tax on financial transactions."

According to BNamericas, Banco do Brasil wants to boost
agricultural lending by 12% to BRL37.0 billion for the 2007-08
harvest, compared to the previous harvest.  Banco do Brasil
loans will represent for 53% of all lending to the sector if it
achieves its goals.  The agricultural sector accounts for 34% of
Banco do Brasil's lending operations.

Banco do Brasil granted some BRL33.9 billion in loans in the
2006-07 harvest that ended on June 30, 2007.  The loans
represented 58.7% of all loans to the agricultural sector,
BNamericas states.

Banco do Brasil holds a 49.99% stake in Brasilcap.  Banco do
Brasil is Brazil's federal bank and is the largest in Latin
America with some 20 million clients and over 7,000 points of
sale (3,200 branches) in Brazil, and 34 offices and partnerships
in 26 other countries.  In addition to its traditional retail
banking services, Banco do Brasil underwrites and sells bonds,
conducts asset trading, offers investors portfolio management
services, conducts financial securities advising, and provides
market analysis and research.

As reported on May 22, 2007, Standard & Poor's Ratings Services
raised its long-term foreign currency counterparty credit rating
on Brazilian government-related entity Banco do Brasil to 'BB+'
from 'BB', after Brazil's foreign currency sovereign credit
rating was upgraded to BB+.


BANCO NACIONAL: Grants BRL650-Million Loan to Alcoa Aluminio
------------------------------------------------------------
Banco Nacional de Desenvolvimento Economico e Social's directors
have approved a BRL650 million financing to Alcoa Aluminio S.A.
for the implementation of unit 2 of Alumar consortium refinery.
The expansion is aimed at incrementing the production of alumina
by 2.1 million tons/year, in Sao Luis (State of Maranhao).

The main facilities will be duplicated, new equipment acquired
and significant improvements carried out in process and
operation.  During the construction phase, 6 thousand direct and
12 thousand indirect jobs are expected to be generated.  BNDES
participation corresponds to 13% of the total investment
value, of BRL4.9 billion.

The required expansion results from a worldwide scenario of
shortage of alumina in the next years and, therefore, of need of
supplying sources.  Alumina is the primary raw material used in
the production of aluminum.

The execution of the project, which is expected to start up by
the second quarter of 2009, should allow Alcoa to increase its
participation in the internal and external markets, by means of
larger product offering, at more competitive costs.  Alcoa's
expansion is part of a general move towards increasing the
aluminum sector, with different projects under implementation
and others, being studied.

Alcoa group started to operate in Brazil over 40 years ago, with
the Poos de Caldas - State of Minas Gerais unit, which until
now remains as company headquarters.  Throughout the years, it
jumped from an annual primary aluminum production capacity of 30
thousand tons to the current 358.8 thousand tons/year.  It is
currently also responsible for the production of over 1.2
million tons/year of alumina and approximately 2.6 million
tons/year of bauxite.

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.


BANCO NACIONAL: Okays BRL259-Million Funding for Brasil Telecom
---------------------------------------------------------------
Banco Nacional de Desenvolvimento Economico e Social said in a
statement that it has authorized BRL259 million in funding for
Brasil Telecom's 2007-2009 investment program.

Business News Americas relates that Brasil Telecom is investing
in the modernization of networks to:

          -- handle traffic growth,
          -- offer new services, and
          -- boost customer service.

Brasil Telecom wants to increase the number of base stations to
improve mobile quality, coverage and traffic capacity.  The
company will also invest in infrastructure and equipment to
improve voice and data transmission, BNamericas notes.

According to BNamericas, Brasil Telecom spent some BRL488
million in December 2007 to secure 3G licenses.

The Banco Nacional financing accounts for 49.8% of the BRL520
million planned investment, BNamericas states.

                     About Brasil Telecom

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

                     About Banco Nacional

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.


BANCO PINE: To Repurchase Up to 2.72 Million Preferred Shares
-------------------------------------------------------------
Banco Pine said in a filing with the Brazilian securities
regulator Comissao de Valores Mobiliarios that its board has
approved a share buyback program of up to 2.72 million preferred
shares before Jan. 5, 2009.

Business News Americas relates that Banco Pine would pay almost
BRL44.0 million for the shares, based on the BRL16.17 closing
share price on Jan 9, 2008.

Banco Pine told BNamericas that it would keep the shares, cancel
them or resell them on the Sao Paulo stock exchange Bovespa,
where it trades the 27.2 million preferred shares.

Headquartered in Sao Paulo, Banco Pine was established in 1997
by the brothers Nelson and Noberto Pinheiro after the sale in
1996 of their participation in another family institution.  A
comprehensive corporate and operational restructuring was
implemented and in the first half of 2005 Noberto Pinheiro
became the bank's majority shareholder.  In April 2007, Banco
Pine went public by placing non-voting preferred shares at the
Bovespa Level 1 on the New Brazilian Stock Market.  These shares
enjoy a tag-along privilege, giving minority shareholders 100%
of the value of the block of controlling shares in the event of
the sale of the institution.

                        *     *     *

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

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
May 18, 2007, Fitch Ratings upgraded the National ratings of
Banco Pine S.A. as:

     -- Long-term National rating to 'A-(bra)' from 'BBB(bra)';
     -- Short-term National rating to 'F2(bra)' from 'F3(bra)'.

Fitch also affirms these ratings:

     -- Long-term Foreign Currency Issuer Default Rating 'B+'
     -- Short-term Foreign Currency rating 'B';
     -- Long-term Local Currency Issuer Default Rating 'B+';
     -- Short-term Local Currency rating 'B';
     -- Individual 'D'
     -- Support '5'.


BRASIL TELECOM: Secures BRL259-Mln Funding from Banco Nacional
--------------------------------------------------------------
Brasil Telecom has secured BRL259 million in funding from Banco
Nacional de Desenvolvimento Economico e Social for its 2007-2009
investment program, according to Banco Nacional's statement.

Business News Americas relates that Brasil Telecom is investing
in the modernization of networks to:

          -- handle traffic growth,
          -- offer new services, and
          -- boost customer service.

Brasil Telecom wants to increase the number of base stations to
improve mobile quality, coverage and traffic capacity.  The
company will also invest in infrastructure and equipment to
improve voice and data transmission, BNamericas notes.

According to BNamericas, Brasil Telecom spent some BRL488
million in December 2007 to secure 3G licenses.

The Banco Nacional financing accounts for 49.8% of the BRL520
million planned investment, BNamericas states.

                     About Banco Nacional

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.

                     About Brasil Telecom

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

                        *     *     *

To date, Brasil Telecom carries Moody's Investors Service's Ba1
senior unsecured and credit default swap ratings.


DELPHI CORP: S&P Predicts B Corp. Credit Rating Upon Emergence
--------------------------------------------------------------
Standard & Poor's Ratings Services expects to assign its
'B' corporate credit rating to Troy, Michigan-based automotive
supplier Delphi Corp. upon the company's emergence from
Chapter 11 bankruptcy protection, which may occur by the end of
the first quarter of 2008.  S&P expects the outlook to be
negative.

In addition, S&P's expects to assign the following issue-level
ratings:

   -- A 'B+' issue rating, and '2' recovery rating to the
      company's proposed US$3.7 billion senior secured first-
      lien term loan; and

   -- A 'B-' issue rating, and '5' recovery rating to the
      company's proposed US$825 million senior secured second-
      lien term loan.

The expected ratings are based upon preliminary terms and
conditions and assume successful placement of the loans as
represented to us.  Any changes to the terms of the loans prior
to placement may result in different ratings.  In addition, the
expected ratings are subject to confirmation and substantial
consummation of Delphi's plan of reorganization, and to S&P's
receipt and satisfactory review of final documentation.  The
expected ratings reflect the company's highly leveraged
financial risk profile, based on poor profitability and near-
term negative cash flow in North America despite substantial
cost improvements obtained in the company's reorganization.  The
ratings also reflect Delphi Corp.'s vulnerable business risk
profile as an automotive supplier that still depends highly on
the very difficult North American market in general, and on
former parent General Motors Corp. (GM; B/Stable/B-3) for sales
as well as ongoing operational support.

Pro forma for the proposed exit financings and emergence from
bankruptcy, Delphi Corp. would have total debt of US$5.35
billion, or a little more than US$8 billion, including S&P's
adjustments for underfunded postretirement benefits and the
present value of operating leases.

In its debt ratio calculations, S&P also treated as debt the
company's proposed US$1.1 billion of junior convertible
preferred equity.  This preferred equity, which GM will hold
after emergence, has no dividend and minimal voting rights--
characteristics that lead us to view it as a temporary piece of
Delphi's capital structure.  Although this equity has no
maturity and could be replaced without an increase in Delphi's
debt, S&P believes it is also possible that the company could
raise debt in the future and use proceeds to repurchase the
junior preferred -- in effect, reproducing the capital structure
under an earlier version of Delphi's plan of reorganization,
before weakness in the credit markets forced a reduction in
planned emergence debt levels.

S&P has not treated as debt the proposed US$800 million in
Series A and Series B convertible preferred equity, to be held
by Appaloosa Management L.P. and other plan investors after
emergence, because S&P considers these tranches to be more
permanent in nature.

Delphi Corp.'s leverage will remain high after emergence, with
adjusted debt to expected 2008 EBITDA of about 6.5.  This
calculation excludes restructuring costs, but incorporates
various transactions that lower adjusted leverage and that will
take place soon after emergence.  These transactions include the
company's payment of a US$1.2 billion "catch-up" contribution to
its worldwide pension plans, and the transfer of US$1.5 billion
in net pension liabilities to GM in exchange for a US$1.5
billion cash payment to the same.  Excluding the junior
preferred equity in S&P's ratio calculations, pro forma 2008
leverage would be a little less than 6.0.

"Following emergence, we would characterize Delphi's business
risk profile as vulnerable," said S&P's credit analyst Gregg
Lemos Stein.  "Delphi has made significant strides in shedding
burdensome legacy costs in North America and in transforming the
company's mix of businesses during bankruptcy. Nevertheless,
customer pricing pressure and competition are severe, and
production volumes are likely to remain volatile -- especially
in North America, where vehicle demand has been sluggish and the
outlook remains clouded amid increasing signs of macroeconomic
weakness."

Other steps Delphi Corp. has taken, or is in the process of
taking, to address its cost structure include:

   -- Dramatically reducing its United States hourly work force
      to about 17,000 as of the end of 2007 from nearly 35,000
      prior to bankruptcy via asset sales and attrition
      programs that GM partly subsidizes.  Additional planned
      asset sales will result in further U.S. headcount
      reductions over the next few years.

   -- Significantly reducing labor costs for remaining U.S.
      hourly workers (about US$27 per hour plus benefits to
      start, but increasing over time) in exchange for lump-sum
      payments, also subsidized by GM.

   -- Selling or closing 31 of the 39 U.S. manufacturing sites
      in operation as of the bankruptcy filing, plus additional
      non-U.S. plants mainly in higher-cost European locations.

   -- Transferring virtually all of its U.S. hourly other
      postemployment benefit liabilities to GM soon after
      emergence, reducing liabilities by more than US$8
      billion.

   -- Freezing its U.S. defined-benefit pension plans as of
      emergence and replacing them with a defined-contribution
      plan.

In addition to these items, Delphi will also receive from GM
ongoing cash payments that will reduce its cost for remaining
United Auto Workers employees to about US$26 per hour, including
benefits.  The UAW accounts for a majority of Delphi's U.S. work
force.  GM also has agreed to support noncore manufacturing
sites so that they are cash flow neutral to Delphi prior to
their sale or closure.

Despite the magnitude of these cost-cutting initiatives and the
exit from weaker product segments, S&P expects profitability to
return to only acceptable levels by the end of the 2008 at the
earliest.  S&P expects EBITDA margin, excluding restructuring
expense, to improve to about 8% of sales in 2008, compared with
less than 2% in 2007.  Margins should be higher in Europe and
Asia-Pacific, which account for a growing minority share of
Delphi's sales (about 37% and 15%, respectively, based on
expected 2008 revenues and excluding noncontinuing businesses).
However, this won't be enough to offset weak margins in North
America, which represents about 44% of projected 2008 revenues.
South America accounts for the remaining 4%.

Customer diversity has improved, but GM exposure remains a risk
factor.  Delphi expects GM to account for about 30% of sales in
2008, excluding noncontinuing businesses.  Prior to Delphi's
bankruptcy in 2005, this figure was about 50%.  S&P expects the
company to continue to gradually diversify its customer base.
However, further market share losses or sudden production cuts
by GM would still pressure Delphi's results, potentially
negating the future cost savings Delphi aims to achieve in areas
such as administrative overhead and materials purchasing.

After emergence, continued cash usage in North America will
challenge Delphi Corp.'s liquidity.  S&P's expects free cash
flow from global operations to be negative in 2008, excluding a
series of transactions with GM following emergence and the
US$1.2 billion catch-up pension contribution.  However, S&P
expects borrowing availability will be sufficient to fund
expected cash usage and ongoing restructurings.  An unrated
US$1.6 billion asset-based lending revolving credit facility
will have about US$1.4 billion of borrowing availability after
anticipated borrowings and outstanding-but-undrawn LOCs are
taken into account.  Governing the asset-based lending is a
borrowing base calculation, under which GM accounts receivable
can account for no more than 25% of eligible accounts receivable
and inventory, or 20% beginning in 2010.  Therefore, a GM
production decline would not severely reduce asset-based lending
borrowing availability.  Cash balances after the post-emergence
transactions will be about US$800 million, but only about US$100
million will be in the U.S., where cash usage is greatest.

The cash costs of Delphi Corp.'s ongoing restructuring efforts
could total nearly US$500 million in 2008.  The company plans to
make additional pension contributions for the next several
years, on top of the US$1.2 billion catch-up contribution, in an
effort to bring its U.S. plans to fully funded status.  However,
these should be manageable, averaging about US$150 million per
year, with some latitude as to timing.  The company's proposed
exit financings include minimal maturities through the end of
the decade.

As with most automotive original equipment suppliers, working
capital needs are highest in the middle of the calendar year
because of typical seasonal production patterns, and this
results in weaker cash flow in the first and second quarters.
S&P expects Delphi's cash flow to benefit from improved terms,
with its suppliers following emergence from bankruptcy,
potentially offsetting its cash usage in early 2008.  However,
S&P remains concerned about cash flow prospects in the U.S. over
the longer term.

S&P's expects to rate Delphi's proposed US$3.7 billion first-
lien senior secured term loan 'B+', one notch higher than the
corporate credit rating.  This and the expected recovery rating
of '2' indicate that lenders can expect substantial (70%-90%)
recovery in the event of a payment default or bankruptcy.  The
company's proposed US$825 million second-lien secured term loan
is expected to be rated 'B-', one notch lower than the company's
corporate credit rating.  This and the expected recovery rating
of '5' indicates that lenders can expect modest (10%-30%)
recovery.

S&P expects the outlook to be negative, reflecting Delphi's cash
use in North America, ongoing restructuring needs, and the
uncertain outlook for vehicle demand in the U.S. in 2008.  S&P's
expected ratings assume that the company will continue to make
some progress on its cost structure and profitability, enabling
it to reduce leverage, including its adjustments, to 6,0 or less
over time.  S&P could lower the ratings if overall leverage or
negative cash flow in North America failed to improve, or if
liquidity were to diminish.  On the other hand, S&P could revise
the outlook to stable, perhaps by the end of 2008, if the
company demonstrates positive and sustainable cash flow for debt
reduction, enabling it to reduce leverage to significantly less
than 6.0, including its adjustments.  S&P are unlikely to
upgrade the company or revise the outlook to positive, given the
current challenges facing the North American auto supplier
industry and sluggish vehicle demand.

                       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.


EL PASO CORP: Earns US$155 Million in 2007 Third Quarter
--------------------------------------------------------
El Paso Corp. reported net income of US$155.0 million on
operating revenues of US$1.17 billion for the third quarter
ended Sept. 30, 2007, compared with net income of US$135.0
million on operating revenues of US$942.0 million in the same
period last year.

Third quarter 2007 results from continuing operations include a
US$65.0 million after-tax impairment of the company's interests
in its Brazilian power assets due in part to ongoing
developments in Brazil's electricity markets.

Results also include a US$49.0 million after-tax gain related to
the reversal of a liability related to The Coastal Corporation's
legacy crude oil marketing and trading business; a US$7.0
million after-tax loss associated with the company's
indemnification of Case Corporation retiree benefits; and a
US$10.0 million after-tax gain related to the mark-to-market
impact of derivatives in the marketing segment intended to
manage price risk on natural gas and oil production.

Third quarter 2006 results include a comparable US$43.0 million
after-tax mark-to-market gain.

"This quarter continues our financial and operational success as
our Pipelines and E&P businesses performed well," said Doug
Foshee, El Paso's president and chief executive officer.
"During the quarter, we completed the Peoples acquisition, which
added excellent staff and properties into our E&P operations.
The quarter also included significant exploration success in
Brazil. And three major pipeline projects, representing US$1.2
billion of capital, received FERC approval as we have continued
to expand our pipeline business.  We also marked an important
step in forming our pipeline MLP with the registration filing
for El Paso Pipeline Partners."

For the nine months ended Sept. 30, 2007, El Paso reported net
income of US$950.0 million compared with US$641.0 million for
the first nine months of 2006.  In addition to the
aforementioned third quarter 2007 items, results for 2007
include US$674.0 million of earnings that relate primarily to
the gain on the sale of ANR and related assets.  Results for
2007 also include a US$184.0 million after-tax charge related to
early debt retirement costs and a US$40.0 million mark-to-market
after-tax loss on production-related derivatives in the
marketing segment.

During the same period in 2006, production-related derivatives
generated a US$164.0 million mark-to-market after-tax gain, and
earnings from discontinued operations were US$95.0 million.

                    Cash Flow from Operations

During 2007, the company generated positive operating cash flow
of approximately US$1.46 billion, primarily as a result of cash
provided by the company's pipeline and exploration and
production operations.  The company utilized this operating cash
flow and cash from its discontinued operations to fund
maintenance and growth projects in the pipeline and exploration
and production operations and to reduce debt obligations.

                          Balance Sheet

At Sept. 30, 2007, the company's consolidated balance sheet
showed US$24.08 billion in total assets, US$19.05 billion in
total liabilities, US$22.0 million in securities of
subsidiaries, and US$5.01 billion in total stockholders' equity.

The company's consolidated balance sheet at Sept. 30, 2007, also
showed strained liquidity with US$2.03 billion in total current
assets available to pay US$2.78 billion in total current
liabilities.

Full-text copies of the company's consolidated financial
statements for the quarter ended Sept. 30, 2007, are available
for free at http://researcharchives.com/t/s?26e3

                    About El Paso Corporation

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.

Southern Natural Gas Company's business consists of the
interstate transportation and storage of natural gas and LNG
terminalling operations.

Colorado Interstate Gas Company's business consists of the
interstate transportation, storage and processing of natural
gas.

                          *     *     *

As reported in the Troubled Company Reporter-Latin America on
Nov. 20, 2007, Standard & Poor's Ratings Services affirmed its
'BB' corporate credit ratings on El Paso Corp. and subsidiaries.
The outlook remains positive.


INGRAM MICRO: Distributes Fujitsu Biometric Systems for Novell
--------------------------------------------------------------
Ingram Micro Inc. has signed an agreement with Fujitsu
Microelectronics America, Inc. to distribute the Fujitsu
biometric login interface products for Novell(R) eDirectory(TM)
and Novell Access Manager.  The contract covers distribution in
the United States and its territories.  A similar contract
initiating Canadian distribution was signed in August.

Fujitsu Microelectronics and 123ID, Inc. have developed
biometric login solutions to allow database users access to
Novell eDirectory applications running on Linux, NetWare and
Windows. This biometric solution replaces password
authentication with eDirectory logon, which provides
uncompromised security, capability and pricing.  The
authentication technology is designed for use in the wide range
of financial, educational, medical, and government applications
that are served by Novell eDirectory.

"We are pleased to extend this distribution agreement between
Fujitsu Microelectronics America and Ingram Micro to the U.S.,"
said  Fujitsu Microelectronics America chief operating officer,
Keith Horn.  "The company's global leadership in distribution,
sales, and service of technology products is well-established
and widely recognized."

"Biometric solutions meet the enhanced security requirements of
commercial, consumer and government applications," said Ingram
Micro vice president for vendor management, Ken Bast.  "Demand
is expanding for advanced fingerprint sensor solutions, which
deliver an unprecedented level of security, and are easy to
install and implement.  We are pleased to be adding the Fujitsu
biometric login interface products for Novell eDirectory and
Novell Access Manager to our line card."

"Novell eDirectory and Novell Access Manager have provided an
inherent biometric-based authentication capability for a number
of years," said vice president of Product Management with the
Novell Identity and Security business unit, Nick Nikols.  "As
biometric sensors have become more prevalent within the
enterprise, our strong partnership with Fujitsu and 123ID in the
area of cross-platform biometric authentication provides
excellent value for improving security throughout the corporate
environment."

                About Fujitsu Microelectronics

Fujitsu Microelectronics America, Inc. --
http://us.fujitsu.com/micro/edir-- leads the industry in
innovation.  The company provides high-quality, reliable
semiconductor products and services for the networking,
communications, automotive, security and other markets
throughout North and South America.

                      About Ingram Micro

Headquartered in Santa Ana, California, Ingram Micro Inc. (NYSE:
IM) -- http://www.ingrammicro.com/-- together with its
subsidiaries, distributes information technology products and
supply chain solutions worldwide.  Its IT products include
peripherals, networking, software, and systems.  The company has
Latin America operations in Brazil, Chile and Mexico.

                        *     *     *

Ingram Micro Inc. continues to carry Moody's Ba1 long-term
corporate family and probability-of-default ratings.


INGRAM MICRO: ITS Division Sells IBM System Storage Technology
--------------------------------------------------------------
Expanding its high-end technology footprint, Ingram Micro's
Infrastructure Technology Solutions (ITS) Division has announced
it is now selling and supporting the complete line of IBM System
Storage N series hardware, software and solutions for small-to-
midsize enterprises (SME's).

According to Ingram Micro's Vice President of Vendor Management
Scott Zahl, the IBM N series boasts a solid line of flexible
storage solutions that unify NAS, Fibre Channel and iSCSI SAN
storage in a single platform for partners who are focused on the
data center infrastructure needs of small and midsize
businesses.  IBM turned to Ingram Micro's ITS Division to extend
its reach and help more solution providers service and support
the growing SME market segment.

"Storage is a lucrative sale for the IT Channel and will
continue to rank among the New Year's most in-demand technology
solutions for SMB and SME accounts," continues Mr. Zahl.  "With
the addition of the IBM System Storage N series, we've enhanced
our existing IBM relationship and our ability to provide
solution providers with a comprehensive, end-to-end IBM branded
solution that addresses the business challenges of enterprise
data management.  It's really a great way for Ingram Micro, IBM
and our partners to kickoff the New Year."

Available to authorized IBM partners in the U.S. and Canada, the
IBM System Storage N series works within heterogeneous
environments and delivers high-end enterprise storage and data
management value with midrange affordability.  The N series also
offers built-in enterprise serviceability and manageability
features.  These intuitive capabilities help solution providers
to improve performance and scalability, while simplifying
storage management, lowering total cost of ownership, and
accelerating clients' return on investment.

To help solution providers achieve the necessary IBM
authorizations to sell the N series, Ingram Micro's IBM storage
team will offer a number of advanced technical and sales
training opportunities.  In addition, specialized accreditation
and service-provider certification assistance and market
education will be offered through the distributor's world-class
Solution Centers in Buffalo, New York and Santa Ana, California.
Configuration and sales tools will also be made available to
partners, along with access to the unrivaled expertise of Ingram
Micro's field credit analysts and sales, marketing, and
technical engineers to ease pre-sales support.

"The market expertise, technical capabilities, and day-to-day
support offerings found within Ingram Micro's ITS Division
continue to strengthen and expand our relationships with high-
value, in-demand manufacturers like IBM," says Ingram Micro
North America's ITS vice president, Scott Look.  "Our ability to
generate demand and offer world-class support for higher-end
technologies such as the IBM N series presents a unique single-
source value proposition to our partners that they just can't
get anywhere else."

Solution providers interested in learning more about the IBM N
series, as well as its supporting programs, may call Ingram
Micro's IBM storage team at (800) 456-6783, ext. 76392.

                      About Ingram Micro

Headquartered in Santa Ana, California, Ingram Micro Inc. (NYSE:
IM) -- http://www.ingrammicro.com/-- together with its
subsidiaries, distributes information technology products and
supply chain solutions worldwide.  Its IT products include
peripherals, networking, software, and systems.  The company has
Latin America operations in Brazil, Chile and Mexico.

                        *     *     *

Ingram Micro Inc. continues to carry Moody's Ba1 long-term
corporate family and probability-of-default ratings.


TECH DATA: Reaches Distribution Agreement with FMAudit
------------------------------------------------------
Tech Data Corporation has expanded its managed services offering
by announcing that its Printing Solutions Specialized Business
Unit (SBU) has established a distribution agreement with leading
managed print services application provider FMAudit.  Resellers
can now leverage FMAudit solutions and the SBU's dedicated team
of sales, marketing and technical resources to build their own
managed print services business.

"In addition to our growing roster of remote monitoring and
management tool providers, Tech Data is establishing support for
managed services across technology segments," said Joe Quaglia,
Tech Data's senior vice president, U.S. Marketing.  "By aligning
our managed services strategy with the expertise of Tech Data's
SBUs and Product Marketing divisions, we are strongly positioned
to support customers and vendor partners who are bringing to
market emerging managed services solutions such as managed print
services, software-as-a-service and hosted telephony."

"Of all the managed services categories, managed print services
has the potential to quickly gain traction since it's a go-to-
market strategy already familiar to many end users, especially
those with copier lease and service agreements," said Wendy
Linsky, Tech Data's vice president, Peripherals Product
Marketing.  "Many of our Printing Solutions SBU customers
already bundle comprehensive maintenance agreements with their
printer sales.  Offering managed print services - or a pay-per-
page model compatible with all major vendor lines - is an
opportunity for resellers to further enhance the value they
provide end-user customers while increasing their own revenue
and profit."

Tech Data is the first distributor to offer resellers access to
the entire suite of FMAudit managed print services tools,
including Rapid Print Assessment(TM) which provides automated
metering, reporting, and consumable and service alerts.  With
FMAudit solutions, resellers can quickly assess printers
and copiers in operation at an end user's site.  Resellers can
use this information to build a comprehensive report and
proposal to demonstrate where efficiencies and cost savings can
be gained through a managed print services solution. Once
implemented, FMAudit software provides resellers with an array
of reporting, account management and analysis tools.  Resellers
also can leverage data collected by FMAudit to monitor usage,
which can lead to additional product sales and services
opportunities.

"Through our partnership with Tech Data, we will be able to
engage a larger number of IT resellers specializing in printing
solutions, helping them to adopt managed services," said Richard
Piper, president and Chief Executive Officer, FMAudit.  "A key
benefit of our distribution agreement with Tech Data is the
implementation of a very simple pricing structure.  Resellers
choose from several pricing levels based on the number of seats
at the end-user location.  They pay one extremely competitive
flat rate for a year's license providing access to our array of
leading managed print services, which can easily be built into
service contracts billed monthly to generate recurring revenue."

FMAudit solutions are compatible with all leading printer and
copier brands, providing resellers with the flexibility to
develop solutions based on their preferred product platform or
to accommodate solutions comprising a range of devices from
multiple vendors.  Tech Data's Printing Solutions SBU and
FMAudit will collaborate to recruit and enable resellers to
deploy managed print services.

                          About FMAudit

FMAudit specializes in managed print services solutions. FMAudit
is dedicated to developing solutions that remove Meter Mystique
-- the cumbersome human element of collecting highly valuable
print asset information.  The data is used for Assessment,
Account Reviews, Metering (for accurate and timely billing),
Service Dispatch, Customer Relationship Management, Enterprise
Resource planning, Sales and Service Force Automation, and Just-
in-Time(TM) automated consumable replenishment.

                       About Tech Data

Founded in 1974, Tech Data Corporation (NASDAQ GS: TECD) --
http://www.techdata.com/-- distributes IT products, with more
than 90,000 customers in over 100 countries.  The company's
business model enables technology solution providers,
manufacturers and publishers to cost-effectively sell to and
support end users ranging from small-to-midsize businesses to
large enterprises.  Tech Data is ranked 107th on the FORTUNE
500(R).  The company and its subsidiaries operate centers in
Latin America, including Brazil and Chile.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
Dec 4, 2007, Moody's Investors Service has affirmed Tech Data
Corporation's existing ratings and changed the outlook to stable
from negative.  Moody's also assigned a speculative grade
liquidity rating of SGL-1.

Moody's has affirmed these ratings:

  -- Corporate Family Rating -- Ba1

  -- Probability of Default Rating -- Ba1

  -- US$350 Million Convertible Senior Unsecured Notes due 2026
     -- Ba2 (LGD-6, 94%)

This rating was assigned:

  -- Speculative Grade Liquidity Rating - SGL-1


* BRAZIL: Petrobras Launching NatGas Supply Talks with Copergas
---------------------------------------------------------------
Brazilian state-run oil firm Petroleo Brasileiro SA aka
Petrobras will begin negotiating with Pernambuco state natural
gas distributor Copergas regarding the increase of natural gas
supply to the state, Business News Americas reports, citing a
Copergas spokesperson.

BNamericas relates that Petrobras supplies Pernambuco about 1.1
million cubic meters of natural gas per day.

The spokesperson told BNamericas, "We will meet Petrobras
officials this Friday [Jan. 11] to see if it is possible to
receive more natural gas from Petrobras as Pernambuco really
needs a volume increase for industrial usage."

According to BNamericas, Pernambuco is trying to convince
Petrobras to construct its third liquefied natural gas
regasification plant at Suape port.

Petrobras already reached new natural gas supply accords with
distributors like Comgas and Bahiagas, BNamericas states.

                         About Copergas

Established on Sept. 17, 1992 by the Pernambuco state
government, the Gas Company of Pernambuco or Copergas supplies
natural gas to industrial, commercial, residential, NGV,
cogeneration and thermal market segments.  Copergas is a state
and private-owned company whose partners are the government of
the state of Pernambuco, Gaspetro and Mitsui.  Its gas pipeline
reaches about 300 kilometers.  The company supplies a volume of
about one million cubic meters per day.

                 About Petroleo Brasileiro

Headquartered in Rio de Janeiro, Brazil, Petroleo Brasileiro SA
aka Petrobras -- http://www2.petrobras.com.br/ingles/index.asp
-- was founded in 1953.  The company explores, produces,
refines, transports, markets, and 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
Dec. 26, 2007, Standard & Poor's Ratings Services assigned BB+
long-term sovereign foreign currency rating and B short-term
sovereign foreign currency rating on Brazil.

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


CABLE & WIRELESS: Protest to End After Reaching Pact with Union
---------------------------------------------------------------
The Caribbean Broadcasting Corp. reports that the conflict
between Cable & Wireless and the union representing its workers
has been resolved, after Prime Minister Owen Arthur brokered an
accord between the two parties.

CBC relates that Cable & Wireless Prime Minister intervened in
the industrial dispute between Cable & Wireless and the union
after protests have interrupted most of the company's operations
in Barbados for five days.  He ordered a meeting with the
company and the union at government headquarters.

As reported in the Troubled Company Reporter-Latin America on
Jan. 8, 2008, Cable & Wireless' workers in Barbados launched
demonstrations against the firm after negotiations over wages,
retroactive payments and other "protracted issues" failed.
Cable & Wireless's head Donald Austin said that the company's
offer of 10.5% over two years was made up of 6% in year one and
4.5% in year two across all categories of staff.  For some
workers, the offer would eventually equate to as high as a 30%
wage hike.  These employees would benefit from "movement in
scales of 4% and a proposed retro payment of around 4% --
translating to an increase of about 15% over two years on an
ongoing basis.

CBC relates that union general secretary Sir Roy Trotman accused
Cable & Wireless of breaching aspects of the collective
agreement.  Mr. Trotman commented to CBC, "We charge Cable &
Wireless with attempting to circumvent the accepted practices.
We charge Cable & Wireless with trying to undermine the trade
union in the exercise of their loyal functions.  And we are
telling that the workers of Barbados that we may be calling on
you shortly, to demonstrate to all employers in Barbados that
neither at Cable & Wireless nor at any other workplace should
employers be allowed to disrespect the rights of workers."

Prime Minister Arthur told the press, "We have been able to
broker a settlement in relation to wages and all outstanding
issues [during the meeting]."

Mr. Trotman told Anmarie Bailey at The Nation Newspaper, "We
looked at about four items.  We have agreed that a timetable
will be set very slowly to deal with all of the nine or so
matters which have caused all of the unrest.  We have especially
dealt with matters of relations, management to staff, because
the Prime Minister himself has been able, from our
presentations, to recognize that that is the major underlying
difficulty between the management on the one hand and the staff
on the other."

According to CBC, the settlement will result in a 12.5% salary
increase and retroactive payments.

Mr. Trotman told CBC that there will be significant dual payment
that will be paid out to all workers in hired by the company for
the period 1997 to 2007.  According to him, the salary
settlement is a 2% increase over what Cable & Wireless was
refusing to give.

"There will be an increase of seven-and-a-half-per cent in year
one, which is another one-and-a-half per cent on the company's
offer, and then there is a further half per cent in year two,"
Mr. Trotman explained to The Nation Newspaper.

The Nation notes that the issue of bonuses, where some high-
level managers received high cash bonuses, was also settled.

The demonstrations had a minimal impact on Cable & Wireless'
operations, Mr. Austin assured CBC.  He explained, "We have been
able to maintain all of our major systems.  Obviously some
individual customers have been impacted and we will get out to
them as soon as possible."

"We are also going to have, importantly, a discussion on and we
are going to develop an incentive program that will cause
workers to share in the profitability of the company, so we
won't any longer be having situations of one man with 20
million and others with only promises," Mr. Trotman told The
Nation Newspaper.

Headquartered in London, Cable & Wireless Plc --
http://www.cw.com/new/-- provides voice, data and IP (Internet
Protocol) services to business and residential customers, as
well as services to other telecoms carriers, mobile operators
and providers of content, applications and Internet services.
The company has operations are in the United Kingdom, India,
China, the Cayman Islands and the Middle East.

                        *     *     *

In April 2007, in connection with the implementation of its new
Probability-of-Default and Loss-Given-Default rating methodology
for the corporate families in the Telecommunications, Media and
technology sector, Moody's Investors Service confirmed its Ba3
Corporate Family Rating for Cable & Wireless Plc.

Moody's also assigned a Ba3 Probability-of-Default rating to the
company.

* Issuer: Cable & Wireless Plc

                                          Projected
                        Debt     LGD      Loss-Given
Debt Issue              Rating   Rating   Default
----------              -------  -------  --------
4% Senior Unsecured
Conv./Exch.
Bond/Debenture
Due 2010                B1       LGD4     60%

GBP200 million
8.75% Senior
Unsecured Regular
Bond/Debenture
Due 2012                B1       LGD4     60%


GLOBAL ALPHA: Proofs of Claim Filing Deadline Is Jan. 14
--------------------------------------------------------
Global Alpha Alliance Class E Ltd.'s creditors are given until
Jan. 14, 2008, to prove their claims to John Cullinane and
Derrie Boggess, the company's liquidators, or be excluded from
receiving any distribution or payment.

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

Global Alpha's shareholder decided on Dec. 12, 2007, to place
the company into voluntary liquidation under The Companies Law
(2004 Revision) of the Cayman Islands.

The liquidators can be reached at:

         John Cullinane
         Derrie Boggess
         c/o Walkers SPV Limited
         Walker House, 87 Mary Street
         George Town, Grand Cayman KY1-9002
         Cayman Islands
         Telephone: (345) 914-6305


GOTHAM SELECT: Proofs of Claim Filing Deadline Is Jan. 14
---------------------------------------------------------
Gotham Select Fund International's creditors are given until
Jan. 14, 2008, to prove their claims to John Cullinane and
Derrie Boggess, 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.

Gotham Select's shareholder decided on Dec. 11, 2007, to place
the company into voluntary liquidation under The Companies Law
(2004 Revision) of the Cayman Islands.

The liquidators can be reached at:

         John Cullinane
         Derrie Boggess
         c/o Walkers SPV Limited
         Walker House, 87 Mary Street
         George Town, Grand Cayman KY1-9002
         Cayman Islands
         Telephone: (345) 914-6305


GOTTBETTER CAPITAL: Proofs of Claim Filing Is Until Jan. 15
-----------------------------------------------------------
Gottbetter Capital Master, Ltd.'s creditors are given until
Jan. 15, 2008, to prove their claims to Ian Wight and Stuart
Sybersma, 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.

Gottbetter Capital's shareholders decided on Nov. 27, 2007, to
place the company into voluntary liquidation under The Companies
Law (2004 Revision) of the Cayman Islands.

The liquidators can be reached at:

         Ian Wight
         Stuart Sybersma
         Attention: Ross Higginson
         Deloitte & Touche
         One Capital Place, P.O. Box 1787
         George Town, Grand Cayman
         George Town, Cayman Islands
         Telephone: (345) 949 7500
         Fax: (345) 949 8258


HINKLE CREEK: Proofs of Claim Filing Is Until Jan. 15
-----------------------------------------------------
Hinkle Creek Funding. Ltd.'s creditors are given until Jan. 15,
2008, to prove their claims to John Cullinane and Derrie
Boggess, 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.

Hinkle Creek's shareholder decided on Dec. 14, 2007, to place
the company into voluntary liquidation under The Companies Law
(2004 Revision) of the Cayman Islands.

The liquidators can be reached at:

         John Cullinane
         Derrie Boggess
         c/o Walkers SPV Limited
         Walker House, 87 Mary Street
         George Town, Grand Cayman KY1-9002
         Cayman Islands
         Telephone: (345) 914-6305


IFL CONTINUUM: Sets Final Shareholders Meeting for Jan. 14
----------------------------------------------------------
IFL Continuum Fund, Ltd., will hold its final shareholders
meeting on Jan. 14, 2008 at the office of the company.

These agenda will be taken during the meeting:

           1) accounting of the winding-up process; and
           2) giving explanation thereof.

IFL Continuum's shareholders agreed on Oct. 15, 2007, to place
the company into voluntary liquidation under The Companies Law
(2004 Revision) of the Cayman Islands.

The liquidators can be reached at:

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


INTCOM TRADING: Proofs of Claim Filing Deadline Is Jan. 14
----------------------------------------------------------
Intcom Trading Ltd.'s creditors are given until Jan. 14, 2008,
to prove their claims to Augusto Prado Barreto, 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.

Intcom Trading's shareholder decided on Dec. 12, 2007, to place
the company into voluntary liquidation under The Companies Law
(2004 Revision) of the Cayman Islands.

The liquidator can be reached at:

         Augusto Prado Barreto
         Machedo de Campos, Pizzo E. Barreto - Advogados
         Rua Minas Gerias
         122 - Higienopolis, 01244-101 Sao Paolo
         Brazil
         Tel: 55 11 3255 0844
         Fax: 55 11 3255 5571


LIBERTYVIEW PLUS: Proofs of Claim Filing Deadline Is Jan. 15
------------------------------------------------------------
Libertyview Plus Fund-Euro's creditors are given until Jan. 15,
2008, to prove their claims to John Cullinane and Derrie
Boggess, 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.

Libertyview Plus' shareholder decided on Dec. 14, 2007, to place
the company into voluntary liquidation under The Companies Law
(2004 Revision) of the Cayman Islands.

The liquidators can be reached at:

         John Cullinane
         Derrie Boggess
         c/o Walkers SPV Limited
         Walker House, 87 Mary Street
         George Town, Grand Cayman KY1-9002
         Cayman Islands
         Telephone: (345) 914-6305


MERLIN BIOMED: Proofs of Claim Filing Is Until Jan. 14
------------------------------------------------------
Merlin Biomed Round Table Fund's are given until Jan. 14, 2008,
to prove their claims to Norman Schleifer, 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.

Merlin Biomed's shareholder decided on Dec. 6, 2007, to place
the company into voluntary liquidation under The Companies Law
(2004 Revision) of the Cayman Islands.

The liquidator can be reached at:

         Norman Schleifer
         230 Park Avenue, New York
         New York 10169, USA

Contact for inquiries:

         Ogier
         Attention: Michael Lubin
         Queensgate House, South Church Street
         P.O. Box 1234, Grand Cayman KY1-1108
         Cayman Islands
         Telephone: (345) 949 9876
         Fax: (345) 945 8604


MERLIN BIOMED OFFSHORE: Proofs of Claim Filing Ends on Jan. 14
--------------------------------------------------------------
Merlin Biomed Offshore Longterm Appreciation Fund, Ltd.'s
creditors are given until Jan. 14, 2008, to prove their claims
to Norman Schleifer, 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.

Merlin Biomed's shareholder decided on Dec. 6, 2007, to place
the company into voluntary liquidation under The Companies Law
(2004 Revision) of the Cayman Islands.

The liquidator can be reached at:

         Norman Schleifer
         230 Park Avenue, New York
         New York 10169, USA

Contact for inquiries:

         Ogier
         Attention: Michael Lubin
         Queensgate House, South Church Street
         P.O. Box 1234, Grand Cayman KY1-1108
         Cayman Islands
         Telephone: (345) 949 9876
         Fax: (345) 945 8604


MERLIN BIOMED INT'L: Proofs of Claim Filing Deadline Is Jan. 14
---------------------------------------------------------------
Merlin Biomed International, Ltd.'s creditors are given until
Jan. 14, 2008, to prove their claims to Norman Schleifer, 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.

Merlin Biomed's shareholder decided on Dec. 6, 2007, to place
the company into voluntary liquidation under The Companies Law
(2004 Revision) of the Cayman Islands.

The liquidator can be reached at:

         Norman Schleifer
         230 Park Avenue, New York
         New York 10169, USA

Contact for inquiries:

         Ogier
         Attention: Michael Lubin
         Queensgate House, South Church Street
         P.O. Box 1234, Grand Cayman KY1-1108
         Cayman Islands
         Telephone: (345) 949 9876
         Fax: (345) 945 8604


MQ ONE: Sets Final Shareholders Meeting for Jan. 15
---------------------------------------------------
MQ One Holdings Ltd. will hold its final shareholders meeting on
Jan. 15, 2008, at:

              Maples Finance Limited
              Boundary Hall, Cricket Square
              George Town, Grand Cayman
              Cayman Islands

These agenda will be taken during the meeting:

           1) accounting of the winding-up process; and
           2) giving explanation thereof.

MQ One's shareholders decided on Oct. 29, 2007, to place the
company into voluntary liquidation under The Companies Law (2004
Revision) of the Cayman Islands.


P FINANCE: Will Hold Final Shareholders Meeting on Jan. 15
----------------------------------------------------------
P Finance Limited will hold its final shareholders meeting on
Jan. 15, 2008, 2:00 p.m., at the office of the company.

These agenda will be taken during the meeting:

           1) accounting of the winding-up process; and
           2) authorizing the liquidator to retain the records
              of the company for a period of five years from
              the dissolution of the company, after which
              they may be destroyed.

P Finance's shareholders agreed on Dec. 7, 2007, to place the
company into voluntary liquidation under The Companies Law (2004
Revision) of the Cayman Islands.

The liquidators can be reached at:

         John Cullinane
         Derrie Boggess
         c/o Walkers SPV Limited
         Walker House, 87 Mary Street
         George Town, Grand Cayman KY1-9002
         Cayman Islands
         Telephone: (345) 914-6305


PANMAR FINANCE: Final Shareholders Meeting Is on Jan. 15
--------------------------------------------------------
Panmar Finance Limited will hold its final shareholders meeting
on Jan. 15, 2008, at the office of the company.

These agenda will be taken during the meeting:

           1) accounting of the winding-up process; and
           2) authorizing the liquidator to retain the records
              of the company for a period of five years from
              the dissolution of the company, after which
              they may be destroyed.

Panmar Finance's shareholder decided on Dec. 14, 2007, to place
the company into voluntary liquidation under The Companies Law
(2004 Revision) of the Cayman Islands.

The liquidator can be reached at:

             Glen Trenouth
             P.O. Box 694, George Town
             Grand Cayman, Cayman Islands
             Telephone: 949 8666
             Fax: 949 7904


PARMALAT SPA: Parma Prosecutors Seek Trial for 10 Citibank Execs
----------------------------------------------------------------
Prosecutors in Parma, Italy, have asked a court to commence
trial for 10 executives at Citibank, a unit of Citigroup, for
abetting Parmalat S.p.A.'s financial collapse in December 2003,
Dow Jones reports citing Chief Prosecutor Gerardo La Guardia.

The court, however, has yet to arrange a preliminary hearing to
decide whether there is enough evidence to warrant indictments
and a full trial for the 10 bankers, Dow Jones said.

Citigroup, meanwhile, expressed confidence "that the examination
by the judge at the preliminary hearing will result in a finding
that its employees are wholly innocent of the charges being
brought."

"It will finally be proven in court that Citi is in fact a
victim of this fraud," Citigroup said.

Headquartered in Milan, Italy, Parmalat S.p.A. --
http://www.parmalat.net/-- sells nameplate milk products that
can be stored at room temperature for months.  It also has about
40 brand product lines, which include yogurt, cheese, butter,
cakes and cookies, breads, pizza, snack foods and vegetable
sauces, soups and juices.

The company's U.S. operations filed for chapter 11 protection on
Feb. 24, 2004 (Bankr. S.D.N.Y. Case No. 04-11139).  Gary
Holtzer, Esq., and Marcia L. Goldstein, Esq., at Weil Gotshal &
Manges LLP, represent the Debtors.  When the U.S. Debtors filed
for bankruptcy protection, they reported more than US$200
million in assets and debts.  The U.S. Debtors emerged from
bankruptcy on April 13, 2005.

Parmalat S.p.A. and its Italian affiliates filed separate
petitions for Extraordinary Administration before the Italian
Ministry of Productive Activities and the Civil and Criminal
District Court of the City of Parma, Italy on Dec. 24, 2003.
Dr. Enrico Bondi was appointed Extraordinary Commissioner in
each of the cases.  The Parma Court has declared the units
insolvent.

On June 22, 2004, Dr. Bondi filed a Sec. 304 Petition, Case No.
04-14268, in the United States Bankruptcy Court for the Southern
District of New York.

Parmalat has three financing arms: Dairy Holdings Ltd., Parmalat
Capital Finance Ltd., and Food Holdings Ltd.  Dairy Holdings and
Food Holdings are Cayman Island special-purpose vehicles
established by Parmalat S.p.A.  The Finance Companies are under
separate winding up petitions before the Grand Court of the
Cayman Islands.  Gordon I. MacRae and James Cleaver of Kroll
(Cayman) Ltd. serve as Joint Provisional Liquidators in the
cases.  On Jan. 20, 2004, the Liquidators filed Sec. 304
petition, Case No. 04-10362, in the United States Bankruptcy
Court for the Southern District of New York.  In May 2006, the
Cayman Island Court appointed Messrs. MacRae and Cleaver as
Joint Official Liquidators.  Gregory M. Petrick, Esq., at
Cadwalader, Wickersham & Taft LLP, and Richard I. Janvey, Esq.,
at Janvey, Gordon, Herlands Randolph, represent the Finance
Companies in the Sec. 304 case.

The Honorable Robert D. Drain presides over the Parmalat
Debtors' U.S. cases.  On June 21, 2007, the U.S. Court Granted
Parmalat Permanent Injunction.


PPLG LATIN: Proofs of Claim Filing Deadline Is Jan. 14
------------------------------------------------------
PPLG Latin America Holdings, LLC's creditors are given until
Jan. 14, 2008, to prove their claims to Robert W. Burke Jr., 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.

PPLG Latin's shareholder decided on Dec. 11, 2007, to place the
company into voluntary liquidation under The Companies Law (2004
Revision) of the Cayman Islands.

The liquidator can be reached at:

         Robert W. Burke Jr.
         PPLG Latin America Holdings, LLC
         835 Hamilton Street, 2nd Floor
         Allentown, PA 18101
         Tel: 610-774-5418
         Fax: 610-774-7376


SHIKAKU FUNDING: Sets Final Shareholders Meeting for Jan. 15
------------------------------------------------------------
Shikaku Funding Limited will hold its final shareholders meeting
on Jan. 15, 2008, at:

              Maples Finance Limited
              Boundary Hall, Cricket Square
              George Town, Grand Cayman
              Cayman Islands

These agenda will be taken during the meeting:

           1) accounting of the winding-up process; and
           2) giving explanation thereof.

Shikaku Funding's shareholders decided on Nov. 1, 2007, o place
the company into voluntary liquidation under The Companies Law
(2004 Revision) of the Cayman Islands.


SIGNUS TRADING: Proofs of Claim Filing Deadline Is Jan. 14
----------------------------------------------------------
Signus Trading Ltd.'s creditors are given until Jan. 14, 2008,
to prove their claims to Augusto Prado Barreto, 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.

Signus Trading's shareholder decided on Dec. 12, 2007, to place
the company into voluntary liquidation under The Companies Law
(2004 Revision) of the Cayman Islands.

The liquidator can be reached at:

         Augusto Prado Barreto
         Machedo de Campos, Pizzo E Barreto - Advogados
         Rua Minas Gerias
         122 - Higienopolis, 01244-101 Sao Paolo
         Brazil
         Tel: 55 11 3255 0844
         Fax: 55 11 3255 5571


SUCCESSOR HURRICANE: Moody's Rates US$30-Mil Class C Notes at B
---------------------------------------------------------------
Moody's Investors Service has assigned ratings to the Series 6
Notes issued by Successor Hurricane Industry Ltd.:

   -- B2 to the US$30,000,000 Series 6 Class C Principal At-
      Risk Variable Rate Notes due Jan. 5, 2010.

Investors in the Notes effectively provide coverage to Swiss
Reinsurance Company from one peril: certain hurricanes in the
Continental United States.

Moody's ratings address the ultimate cash receipt of all
required interest and principal payments as provided by the
governing documents, and is based on the expected loss posed to
the note holders relative to the promise of receiving the
present value of such payments.  The rating is based on Moody's
analysis of the probability of occurrence of qualifying events,
their timing and the severity of losses experienced by investors
should those events occur during the risk period. Moody's review
of the transaction has included extensive review of the
technical basis, methodology and historical data used to develop
the probabilistic risk model used by EQECAT for the analysis of
potential losses and sensitivity analysis of critical parameters
of the model.

This review, together with a detailed analysis of the
transaction's legal structure and the financial strength of the
various parties to the transaction, provided Moody's with
sufficient comfort that the resulting ratings adequately
captures the risk to investors in these securities.

Successor Hurricane Industry Ltd., is a special purpose Cayman
Islands exempted company for the benefit of Swiss Reinsurance
Co.


ULTIMA CAYMAN: Sets Final Shareholders Meeting for Jan. 15
----------------------------------------------------------
Ultima Cayman Inc. will hold its final shareholders meeting on
Jan. 15, 2008, at:

              Maples Finance Limited
              Boundary Hall, Cricket Square
              George Town, Grand Cayman
              Cayman Islands

These agenda will be taken during the meeting:

           1) accounting of the winding-up process; and
           2) giving explanation thereof.

Ultima Cayman's shareholders decided on Oct. 29, 2007, to place
the company into voluntary liquidation under The Companies Law
(2004 Revision) of the Cayman Islands.




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


EASTMAN KODAK: To Set Annual Strategy Meeting on Feb. 7
-------------------------------------------------------
Eastman Kodak Company will hold its annual strategy meeting with
the institutional investment community on Feb. 7, in New York
City.

The meeting will be held at the Digital Sandbox Event Center,
located at 55 Broad Street (between Beaver St & Exchange Place).
The doors will open at 8:00 AM Eastern time, and investors are
welcome to view and participate in demonstrations of some of the
products that will help define Kodak's future.  The formal
program will begin promptly at 9:00 AM and is expected to
conclude by noon.  Following the presentations, the product
demonstrations will reopen until 1:00 PM.

The program will include presentations by:

   * Antonio Perez, Chairman and Chief Executive Officer,
   * Phil Faraci, President & Chief Operating Officer,
   * Frank Sklarsky, Chief Financial Officer, and
   * Mary Jane Hellyar, President, Film, Photofinishing and
     Entertainment Group,

and will conclude with a question-and-answer session.

                     About Eastman Kodak

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

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

As reported in the Troubled Company Reporter-Latin America on
Sept. 14, 2007, Standard & Poor's Ratings Services has affirmed
its 'B+' corporate credit rating on Eastman Kodak Co. and
removed the ratings from CreditWatch, where they had been placed
with negative implications on Aug. 2, 2006.  S&P said the
outlook is negative.


NOVA CHEMICALS: Plans for Ontario Polyethylene Asset Expansion
--------------------------------------------------------------
NOVA Chemicals Corporation is planning for a series of
polyethylene plant modernization and expansion projects in the
Sarnia, Ontario, region.  The projects will add a total of up to
250 million pounds per year of new polyethylene capacity in
stages over the next two years.

"These projects should have about a two year pay-back and will
generate meaningful earnings growth for our shareholders in
every part of the industry business cycle," said Jeffrey M.
Lipton, Chief Executive Officer.  "The upgrades include
technology that will enable us to produce higher value products
that our customers are hungry for."

The projects include:

   * Upgrading products, improving reliability and expanding the
     low density polyethylene unit at Mooretown, Ontario

   * Optimizing the high density polyethylene unit at Mooretown
     to increase throughput rates and improve product quality

   * Debottlenecking high density polyethylene and linear low
     density polyethylene production at the St. Clair River site
     at Corunna, Ontario

The projects are now feasible because the Corunna flexi-cracker
modernization completed in 2007 has successfully delivered:
greater ethylene capacity, increased energy efficiency, improved
plant reliability and global cost competitiveness.  The total
cost of the projects will be approximately US$80 million, which
will not result in a material change in the company's overall
capital program.  The projects will require appropriate Board of
Directors approvals as they proceed.

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

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
Sept. 25, 2007, Moody's Investors Service has confirmed Nova
Chemicals Corporation's Ba3 corporate family rating and senior
unsecured debt ratings following regulatory approval for the
expansion of its styrenics joint venture and the belief that low
olefin feedstock costs could allow the company to meaningfully
reduce debt over the next 12 to 18 months.


SHAW GROUP: Earns US$2.2 Million in Quarter Ended Nov. 30
---------------------------------------------------------
The Shaw Group Inc. reported net income for the three months
ended Nov. 30, 2007, inclusive of its Investment in Westinghouse
segment, of US$2.2 million.  Excluding the Westinghouse segment,
which includes a non-cash, pre-tax, foreign exchange translation
loss of US$57.2 million, net income was US$41.2 million.  In
comparison, for the three months ended Nov. 30, 2006, inclusive
of its Westinghouse segment which was owned for 45 days during
that period, Shaw reported a loss of US$12.3 million.  Net
income for the three months ended Nov. 30, 2006, excluding the
Westinghouse segment, was US$9.1 million.

Earnings before interest expense, income taxes, depreciation and
amortization (EBITDA) for the first quarter of 2008, including
the Westinghouse segment, were US$29.3 million, and US$78.6
million excluding the Westinghouse segment.  In comparison for
the three months ended Nov. 30, 2006, Shaw reported a net
loss before interest expense, taxes, depreciation and
amortization of US$0.3 million including the Westinghouse
segment, and EBITDA of US$30.3 million excluding the
Westinghouse segment.

Net cash provided by operating activities totaled US$108.6
million during the first quarter of fiscal 2008 compared to
US$130.7 million in the first quarter of fiscal 2007.  Revenues
for first quarter of 2008 were US$1.7 billion, compared to
US$1.3 billion in the corresponding 2007 period.

Shaw's backlog of unfilled orders as of Nov. 30, 2007, was
US$14.0 billion with approximately US$5.8 billion, or 41%, of
the backlog expected to be converted to revenues during the next
12 months.

"We are pleased with our operating results for the quarter and
in particular, our continued strong operating cash flow," said
J.M. Bernhard, Jr., Shaw's chairman, president and chief
executive officer.  "Our Fossil and Nuclear Power, and our
Fabrication and Manufacturing Groups are performing well in what
continues to be a robust market.  Our Energy and Chemicals Group
and Maintenance Group also performed well during the quarter.
With strong markets and accelerating progress on major projects,
we forecast our results to improve over the remainder of our
2008 fiscal year.

"Global energy and petrochemical markets remained robust
contributing to our near record quarterly backlog of US$14
billion, 47 percent higher than a year ago.  We expect these
markets to remain strong and we have seen improvements in
federal government contracting which should support further
backlog growth in 2008," said Mr. Bernhard.

                      About Shaw Group

Based in Baton Rouge, Louisiana, The Shaw Group Inc. (NYSE: SGR)
-- http://www.shawgrp.com/-- provides services to the
environmental, infrastructure and homeland security markets,
including consulting, engineering, construction, remediation and
facilities management services to governmental and commercial
customers.  It is also a vertically integrated provider of
engineering, procurement, pipe fabrication, construction and
maintenance services to the power and process industries.  The
company segregates its business activities into four operating
segments: Environmental & Infrastructure; Energy & Chemicals;
Maintenance, and Fabrication, Manufacturing & Distribution.  In
January 2005, the company sold substantially all of the assets
of its Shaw Power Technologies, Inc. and Shaw Power Technologies
International, Ltd. units to Siemens Power Transmission and
Distribution Inc., a unit of Siemens AG.

The company has operations in Chile, China, Malaysia, the United
Kingdom and, Venezuela, among others.

                        *     *     *

Standard & Poor's Ratings Services affirmed its 'BB' corporate
credit rating on The Shaw Group Inc. and removed it from
CreditWatch, where it was placed with negative implications in
October 2006.  S&P said the outlook is stable.

In addition, 'BB' senior secured debt rating was affirmed after
the US$100 million increase to the company's revolving credit
facility.




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


CUMMINS INC: Earns US$184 Million in 2007 Third Quarter
-------------------------------------------------------
Cummins Inc. reported net earnings of US$184 million in the
third quarter ended Sept. 30, 2007, versus net earnings of
US$171 million in the comparable 2006 period.

Sales grew 20.0% to US$3.37 billion, from US$2.81 billion during
the same period in 2006, led by record sales in the Engine,
Power Generation and Distribution segments while the Components
segment also experienced a strong sales performance.

Earnings before interest and taxes rose 3.4% to US$306.0
million, or 9.1% of sales, from US$296.0 million, or 10.5% of
sales, in the same period in 2006.  Earnings growth was
moderated by a downturn at some OEM customers, and the expected
higher costs associated with the introduction of new emissions-
related products.

"We continue to experience significant growth in most of our
markets around the world, and are well-positioned to take
advantage of many opportunities for future growth," said Cummins
chairman and chief executive officer Tim Solso.  "Our technology
leadership has resulted in a sustainable competitive advantage
for Cummins, and we remain focused on producing profitable
growth for all our stakeholders."

Net earnings for the nine months ended Sept. 30, 2007, were
US$541.0 million on sales of US$9.53 billion, compared to net
earnings of US$526.0 million on sales of US$8.33 billion in the
corresponding period of 2006.

                            Liquidity

Cash and cash equivalents decreased US$216.0 million during the
period to US$624.0 million at the end of the first nine months
compared to US$840.0 million at the beginning of the period.
Cash and cash equivalents were higher at the end of 2006 due to
lower accounts receivable at the end of 2006.

In the first quarter of 2007, approximately US$62.0 million of
the company's US$120.0 million 6.75% debentures were repaid on
Feb. 15, 2007, at the election of the holders.  Total debt as a
percent of the company's total capital, including total debt,
was 17.2% at Sept. 30, 2007, compared with 22.4% at Dec. 31,
2006, and 28.4% at Oct. 1, 2006.

                          Balance Sheet

At Sept. 30, the company's consolidated balance sheet showed
US$8.03 billion in total assets, US$4.56 billion in total
liabilities, US$275.0 million in minority interests, and US$3.20
billion in total shareholders' equity.

Full-text copies of the company's consolidated financial
statements for the quarter ended Sept. 30, 2007, are available
for free at http://researcharchives.com/t/s?26e2

                          About Cummins

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

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

                          *     *     *

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

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


POLYONE CORP: Splits Polymer Coating Business Into Two Units
------------------------------------------------------------
PolyOne Corporation has reorganized its Polymer Coating Systems
into two business units.

The Wilflex inks and specialty colorants businesses and the
BayOne equity investment will be combined into a new operating
segment named Specialty Inks and Polymer Systems.  Scott Craig,
who recently joined PolyOne Corp. from Cookson Electronics'
Semiconductor Packaging Materials business, will be the general
manager of this new operating segment.

The remaining Polymer Coating businesses, plastisols and coated
fabrics, will be integrated with the Vinyl Business segment and
combined with the Specialty Resins business to form Specialty
Resins and Coatings.  Dan Kickel, who had served as vice
president and general manager of Polymer Coating Systems, will
become vice president and general manager of this new business
unit.

"This realignment gives us the ability to better serve our
customers," said chairperson, president and chief executive
officer, Stephen D. Newlin.  "We will more effectively and
efficiently focus our resources with the needs of our customers
and the marketplace."

The number of PolyOne Corp.'s reportable segments remains at
four: Vinyl Business, International Color and Engineered
Materials, PolyOne Distribution, and Resin and Intermediates.
All Other will now include North American Engineered Materials,
North American Color and Additives, Producer Services, and
Specialty Inks and Polymer Systems.  Historical segment data
will be recast for this reorganization in the company's 10K
filing for the fiscal year ending Dec. 31, 2007.

                        About PolyOne

Headquartered in northeast Ohio, PolyOne Corporation (NYSE: POL)
-- http://www.polyone.com/ -- is a leading global provider of
specialized polymer materials, services and solutions.  PolyOne
has operations in North America, Europe, Asia and Australia, and
joint ventures in North America and South America.  The company
maintains operations in China, Colombia, Thailand and Singapore.

                        *     *     *

Moody's Investor Services placed PolyOne Corporation's senior
unsecured debt, long term corporate family and probability of
default ratings at 'B1' in July 2007.  The ratings still hold to
date with a stable outlook.




===================
C O S T A   R I C A
===================


* COSTA RICA: Strong Pineapple Sector Boosts Economy
----------------------------------------------------
Foreign Trade Promotion Office disclosed that Costa Rican
pineapple exports had a total amount of US$470 million to the
country's economy in 2007, Inside Costa Rica reports.

In January 2007, experts had forecasted that the sector would be
worth US$500 million.  However, the latest figure still
indicated a solid increase in shipments, Inside Costa Rica says.

Inside Costa Rica relates that the country ranked as the world's
leading pineapple producer and the fourth-most valuable export.

According to the report, intensive pineapple cultivation that
might resulted to a negative impact on the environment drew much
concerns, especially given the extensive use of agro-chemicals.

Costa Rica has covered 40,000 hectares of pineapple plantations
compared to
12,000 hectares in 2000.  Over 20,000 workers were reported in
the industry.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
Dec. 26, 2007, Standard & Poor's Ratings Services assigned BB+
long-term sovereign foreign currency rating and B short-term
sovereign local and foreign currency ratings on Costa Rica.

Standard & Poor's also placed a BB long-term sovereign foreign
currency rating on Costa Rica.


* COSTA RICA: Obtains US$72.5 Million Financing from World Bank
---------------------------------------------------------------
The World Bank Board of Executive Directors has approved a loan
for Costa Rica in the amount of US$72.5 million to finance the
revitalization of the city of Limon and to support the
modernization of its port.

"With its historic center and unique Caribbean identity, Limon
has great potential for tourism development but this is not
being realized due to limitations in its urban planning and
management capacity," said Laura Frigenti, World Bank Director
for Central America.  "This loan will help the city of Limon to
diversify its economy and to develop both tourism and trade in
a sustainable manner, while creating a more livable environment
for the city's poorest inhabitants."

While Costa Rica as a whole has an impressive development
record, the Atlantic region is lagging behind, with one in five
of its inhabitants living in poverty.  The Atlantic port-city of
Limon is one of the country's most decayed cities and suffers
from high unemployment and crime rates.  The port of Limon,
the busiest port in Central America after Panama, is critical to
the competitiveness of Costa Rica's trade, but has become a
major bottleneck to the country's growth due to lack of reform
and inefficiency.  The congestion in the port affects the city
as heavy freight traffic has to pass through the city
center to get to the Limon terminal.

The City-Port of Limon Project will help to address these
challenges through support for actions in four key areas:

   * Urban and cultural revitalization:  Investments focused on
     rescuing Limon's unique cultural identity, while improving
     the city's urban environment (sewerage, drainage, paving of
     streets) and attractiveness to visitors.

   * Local economic development:  Activities to generate new
     sources of employment and income, seizing the opportunities
     presented by growing cruise tourism and the historical and
     cultural richness of Limon.

   * Local governance and city-port strategic planning:
     Technical assistance for the Municipality of Limon to
     improve its capacity to deliver quality services and to
     take an active role in the city's development.

   * Support for improving the port environment:  Actions to
     improve transport access to the Limon and Moin port
     terminals and technical assistance to the Transport
     Ministry to support the concessions process and transport
     system for Moin and Limon.

"The City-Port of Limon Project is part of the Government of
Costa Rica's regional development strategy for the Province of
Limon, which also aims to address poverty and social problems,"
said Emmanuel James, World Bank task manager for the project.
"It has been designed to help develop the capacity of local and
central governments to address the needs of lagging regions."

This US$72.5 million fixed-spread loan from the International
Bank for Reconstruction and Development is payable in 15 years,
including 5 years of grace.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
Dec. 26, 2007, Standard & Poor's Ratings Services assigned BB+
long-term sovereign foreign currency rating and B short-term
sovereign local and foreign currency ratings on Costa Rica.

Standard & Poor's also placed a BB long-term sovereign foreign
currency rating on Costa Rica.




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


AFFILIATED COMPUTER: Purchases Syan Holdings for US$60 Million
--------------------------------------------------------------
Affiliated Computer Services, Inc. has acquired Syan Holdings
Limited, one of the United Kingdom's largest IBM Business
Partners, for approximately US$60 million (30.5 million pounds
Sterling).  Syan Holdings' trailing twelve-months revenue was
approximately US$75 million.  The transaction will be funded
entirely with existing cash on hand.

The acquisition strengthens Affiliated Computer's global IT
Outsourcing presence by adding a solid base of U.K. operations,
including two data centers, and expanding its reach into the
United Kingdom.  It also enhances the company's position as a
leading provider of IT solutions to global FORTUNE 1000 clients.

"This acquisition strengthens ACS' end-to-end IT services.  Syan
Hodlings' data center facilities in the United Kingdom, combined
with their exceptional subject matter expertise, will enable ACS
to provide clients with multi-scope IT services on a global
scale," said Affiliated Computer Services senior managing
director of IT Outsourcing, Derrell James.  "Syan's clients will
be backed by a FORTUNE 500 company that offers a global delivery
model, and ACS will be able to leverage an impressive suite of
ITO services for our global clients who have operations in the
United Kingdom and Europe."

Syan Holdings' expertise is the delivery and support of managed
services and technology solutions involving IBM mid-range and
Intel servers.  Client services include server hosting and
management, applications management, desktop management, high-
availability solutions, and help desk operations.

"The acquisition of Syan by ACS represents a shared commitment
to providing leading-edge technology, innovation, and solution
expertise for our clients around the globe.  It increases the
breadth and depth of our IT capabilities and enables us to offer
the robust services our clients need," said Syan Holdings
managing director, George Djuric.  "With our combined leadership
talents, we have strengthened our ability to deliver proven IT
services to clients in the United Kingdom and around the globe."

The business, which will be rebranded ACS Syan, will continue to
be run by Syan Holdings' existing management team.

                      About Syan Holdings

One of the leading IT outsourcing specialists in the United
Kingdom, Syan Holdings Ltd. -- http://www.syan.co.uk-- has more
than 20 years experience and a reputation for successful
delivery of high-quality services.  With four U.K. facilities,
including two high-specification data centers in Shropshire,
England, Syan provides an extensive range of services to
companies throughout the United Kingdom, with a particular
emphasis on information security to ISO 27001 standards.  The
company's outsourcing services include colocation, hosting,
server management, desktop management, call center services, and
application management.

              About Affiliated Computer Services

Headquartered in Dallas, Affiliated Computer Services Inc.
(NYSE: ACS) -- http://www.acs-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.

                          *     *     *

As reported in the Troubled Company Reporter-Latin America on
Jan. 8, 2008, Standard & Poor's Ratings Services affirmed its
'BB' corporate credit rating on Dallas, Texas-based Affiliated
Computer Services Inc., and removed it from CreditWatch, where
it had been placed with negative implications on March 20, 2007.
The outlook is negative.


GUESS? INC: Discloses Strong Same-Store Sales in Retail Business
----------------------------------------------------------------
Guess? Inc.'s North American retail business continued to
perform ahead of expectations for December 2007, delivering a
double digit same store sales increase for the five week period
ended Jan. 5, 2008.  This performance followed a double digit
same store sales increase for the November 2007 period.  As a
result of the improved sales performance, the company is
increasing revenue guidance for its retail segment for the
current fiscal year to grow about 16.5% versus its previous
expectations for an increase of 16%.

The company also reaffirmed its outlook for its other business
segments for the year ending Feb. 2, 2008.  The company plans to
release its actual fiscal 2008 fourth quarter and year end
financial results on March 19, 2008.

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

                        *     *     *

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




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


DEL MONTE: Appoints Nils Lommerin as Chief Operating Officer
------------------------------------------------------------
Del Monte Foods Company has hired Nils Lommerin as its Chief
Operating Officer.  Mr. Lommerin will continue to report to Rick
Wolford, Chairman and Chief Executive Officer of Del Monte.

In his new position, Mr. Lommerin, who previously served as Del
Monte's Executive Vice President of Operations, will assume
responsibility for the Company's Marketing divisions, and
continue to oversee the Company's Research & Development,
Operations and Supply Chain.

This new organizational structure will further enhance the
integration of the Company's marketing and business functions.
Jeff Watters, Del Monte's Senior Vice President, Pet Products,
and Apurva Mody, Senior Vice President, Consumer Products, will
now report to Mr. Lommerin.

"Nils has made exceptional contributions to our organization and
has delivered strong results," said Rick Wolford, Chairman and
Chief Executive Officer of Del Monte.  "In his five years at Del
Monte, he has demonstrated solid business acumen, excellent
decision-making skills and strong cross-functional capabilities.
Nils has also shown an ability to provide strong pragmatic
strategic and business leadership, which will serve the Company
well in his new role as COO."

Mr. Wolford continued, "Del Monte's realigned reporting
structure will strengthen execution against our annual
performance objectives.  Importantly, it will also enable an
enhanced senior focus on our innovation initiatives, on
maximizing our brands in the market and on optimizing our
ability to fully implement the actions needed to meet our
performance and strategic goals."

"I look forward to the opportunities and challenges I will face
in this new position," stated Mr. Lommerin.  "We have an
exceptional team and an unbelievable stable of brands.  I am
confident that we can work together to grow these brands while
at the same time achieving our cost reduction goals."

Mr. Lommerin joined Del Monte in 2003 as Executive Vice
President of Human Resources.  He assumed his role as Executive
Vice President of Operations in 2004.  Before joining Del Monte,
Mr. Lommerin served as Executive Vice President of Operations
and Corporate Services at Oxford Health Plans, Inc.  Prior to
that, Mr. Lommerin held various positions at PepsiCo, Inc. and
Kraft Foods.

Mr. Lommerin holds an M.S. degree in Management from Carnegie
Mellon University and a B.A. degree in Economics from East
Stroudsburg University.

Based in San Francisco, California, Del Monte Foods Company
(NYSE: DLM) -- http://www.delmonte.com/-- produces and
distributes processed vegetables, fruit and tomato products, and
pet products.  The products are sold under Del Monte, Contadina,
S&W, Starkist, College Inn, 9Lives, Kibbles 'n Bits, Meow Mix,
Milk-Bone, Pup-Peroni, Snausages, Pounce, and Meaty Bone.  The
Group has food-processing plants in South America and has
subsidiaries in Venezuela, Colombia, Ecuador and Peru.  The
production facilities are operated in California, the Midwest,
Washington and Texas, as well as 7 distribution centers.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
Oct. 3, 2007, Moody's Investors Service affirmed Del Monte Foods
Company's Ba3 corporate family rating, Ba3 probability of
default rating and speculative grade liquidity rating of SGL-2,
following the company's announcement that its board had
authorized the repurchase of up to USUS$200 million of the
company's stock over the next 36 months.


PETROECUADOR: Wood Mackenzie to Help Reorganize Firm
----------------------------------------------------
Ecuadorian state-owned oil firm Petroecuador told Mercedes
Alvaro at Dow Jones Newswires that it will sign a five-month
contract with energy consulting company Wood Mackenzie to help
it in its reorganization.

The contract is over US$3 million, Dow Jones says, citing
Petroecuador.

The company said in a statement that it will conduct engineering
studies for the new company through July 2008.

Dow Jones relates that Wood Mackenzie will audit Petroecuador
and its workforce to determine weaknesses and strengths.  It
will advise on ways to reorganize Petroecuador to boost
efficiency.

According to Dow Jones, Petroecuador has suffered from a lack of
investment.  Its output and refining levels are decreasing.  The
firm is being criticized "for being too bureaucratic and
overstaffed."

However, studies conducted by Petroecuador indicated that a high
percentage of workers will retire.  If it fails to hire new
employees by 2010, it may face a labor crisis, Dow Jones states.

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


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


IMAX CORP: Moody's Changes Outlook; Affirms Junk Ratings
--------------------------------------------------------
Moody's Investors Service has changed the outlook for IMAX
Corporation to stable from positive indicating that an upgrade
over the near term is less likely.

IMAX Corp. recently announced a joint-venture agreement to
install 100 digital projection systems at AMC Entertainment,
Inc., locations across the United States.  Moody's believes that
while this agreement should contribute to an increase in
enterprise value and improve cash flow visibility over the long
term, it will require substantial upfront cash investments,
straining the company's limited liquidity over the next couple
of years.  Furthermore, the widescale rollout of the digital
systems poses execution risk.  The company has not installed any
digital theaters to date and expects to nearly double its U.S.
theater base over the next several years with the AMC
Entertainment deal, as well as expanding its presence through
other sales and joint ventures involving digital systems in the
U.S. and internationally.

Moody's also affirmed the Caa1 corporate family and the Caa1
probability of default ratings for IMAX Corp. as well as the
Caa2 rating on its senior unsecured bonds.

Ratings List:

   -- Outlook, Changed To Stable From Positive
   -- Corporate Family Rating, Affirmed at Caa1
   -- Probability of Default Rating, Affirmed at Caa1
   -- Senior Unsecured Bonds, Affirmed at Caa2, LGD 4, 60%

The Caa1 corporate family rating reflects high financial risk
and the lack of visibility regarding IMAX Corp.'s long term cash
flow prospects, as well as execution risk related to the
strategic transition to increased use of joint ventures and the
rollout of the new digital system. A highly enforceable backlog
of signed contracts, recent positive business indicators --
including increased system signings and film slate announcements
-- and the value of the IMAX brand support the ratings.

Based in New York City and Toronto, Canada, IMAX Corporation
(NASDAQ:IMAX) -- http://www.imax.com/-- is an entertainment
technology company, with emphasis on film and digital imaging
technologies including 3D, post-production and digital
projection.  IMAX is a fully-integrated, out-of-home
entertainment enterprise with activities ranging from the
design, leasing, marketing, maintenance, and operation of
IMAX(R) theatre systems to film development, production, post-
production and distribution of large-format films.  IMAX also
designs and manufactures cameras, projectors and consistently
commits significant funding to ongoing research and development.
IMAX has locations in Guatemala, India, Italy, among others.


LAND O'LAKES: Announces Four Executive and Promotional Changes
--------------------------------------------------------------
Land O'Lakes, Inc. has recently announced a number of changes to
the senior leadership team reporting to Land O'Lakes President
and Chief Executive Officer, Chris Policinski.

"These changes are intended to both leverage our leadership
team's existing experience and expertise, as well as to bring
additional insight, particularly in the area of business
development, to the company." Mr. Policinski said.

JP Ruiz-Funes joined Land O'Lakes, effective Jan. 7, 2008 as
senior vice president, Corporate Strategy and Business
Development.  He has more than 20 years of experience in general
management and strategy roles at Baxter Healthcare, Quaker Oats
and McKinsey & Company.  While at McKinsey, Mr. Ruiz-Funes was a
leader in their Agribusiness practice in addition to serving a
number of packaged goods and food clients.

Barry Wolfish has moved from his previous position in Corporate
Strategy and Business Development to create the new role of
senior vice president, Corporate Marketing Strategy, where he
will lead the establishment of a marketing Center of Excellence
at Land O'Lakes.  Mr. Wolfish has been with Land O'Lakes for
eight years serving as vice president in the Cheese, Deli,
Foodservice and Specialty Foods businesses.  Prior to Land
O'Lakes, Mr. Wolfish spent 17 years with General Mills in
marketing leadership roles of increasing responsibility.

Mike Vandelogt replaced Dave Seehusen as executive vice
president and chief operating officer, Winfield Solutions Seed
Division.  Mr. Vandelogt previously was vice president,
Marketing, Winfield Solutions, Seed Division, and in his new
role, will lead the Seed business and its ongoing role within
Winfield Solutions.  Mr. Vandelogt has 27 years of experience in
the seed industry, the last 17 years with Land O'Lakes where he
began as a Corn Product Manager and moved through Director of
Marketing and Director of Sales and Marketing before his current
role in Winfield Solutions.

Dave Seehusen, former executive vice president and chief
operating officer, Winfield Solutions Seed Division and Member
Services, has moved to executive vice president, Land O'Lakes Ag
Business Development and Member Services.  Mr. Seehusen will
leverage his depth of knowledge of Land O'Lakes and the co-op
system to help define Land O'Lakes role as provider of services
to the cooperative system.  Mr. Seehusen has been with Land
O'Lakes for nearly 40 years, starting in sales calling on co-ops
in Iowa, rising to Fertilizing Marketing Manager, becoming
leader of National Animal Milk Products and, for the last 23
years, leading the Land O'Lakes Seed Division.

"These changes within our senior leadership reflect our business
priorities and strategic direction and I look forward to working
with this group to position Land O'Lakes for continued success,"
Mr. Policinski said.

                       About Land O'Lakes

Headquartered in Saint Paul, Minnesota, Land O'Lakes Inc. --
http://www.landolakesinc.com/-- is a national, farmer-owned
food and agricultural cooperative.   Land O'Lakes does business
in all 50 states and more than 50 countries, including the
Philippines, Ukraine and Guatemala.  It is a leading marketer of
a full line of dairy-based consumer, foodservice and food
ingredient products across the United States; serves its
international customers with a variety of food and animal feed
ingredients; and provides farmers and ranchers with an extensive
line of agricultural supplies and services.  Land O'Lakes also
provides agricultural assistance and technical training in more
than 25 developing nations.

                          *     *     *

As reported in the Troubled Company Reporter-Latin America on
Dec. 14, 2007, Standard & Poor's Ratings Services raised its
corporate credit and other ratings on privately owned marketing
and supply cooperative Land O'Lakes Inc.  The corporate credit
rating is now 'BB'.  S&P said the outlook is stable.


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


SUGAR CO: Negotiating Team Mulling Eight Offers for Factories
-------------------------------------------------------------
The negotiating team is studying proposals from eight investors
keen on buying the Sugar Company of Jamaica's five sugar
factories, Radio Jamaica reports, citing agriculture minister
Christopher Tufton.

Radio Jamaica relates that members of the negotiating team are:

     -- Aubyn Hill, who was appointed as chairperson in May 2006
        by the PNP government;

     -- Jamaica Boilers Group's vice chairperson Ian Persuad;

     -- Petro Caribe Development Fund's manager Sharon Weber;

     -- the Sugar Industry Authority chairperson Derek Heaven;
        and

     -- John Vassell, attorney-at law.

As reported in the Troubled Company Reporter-Latin America on
Nov. 28, 2007, the Jamaican government would begin formal
negotiations with eight short-listed firms who are keen on
buying the Sugar Company's five factories:

          -- Frome,
          -- Monymusk,
          -- Bernard Lodge,
          -- Long Pond, and
          -- Duckenfield.

Radio Jamaica notes that five of the short-listed companies
include:

          -- Trinidad and Tobago's Angostura Limited,
          -- Brazil's Coimex,
          -- India's Dhampur Sugar Mills,
          -- Jamaica's Energen Development Limited, and
          -- Jamaica's J. Wray and Nephew Limited.

The divestment of the factories will be discussed during a
retreat industry officials will attend.  The retreat will
involve the agriculture ministry's recently established Sugar
Transformation Unit, which is financed by the European Union.
The new unit was established to coordinate improvements in
productivity, efficiency and diversification within the sugar
sector, Radio Jamaica states.

The Sugar Company of Jamaica registered a net loss of almost
US$1.1 billion for the financial year ended Sept. 30, 2005, 80%
higher than the US$600 million reported in the previous
financial year.  Sugar Company blamed its financial
deterioration to the reduction in sugar cane production.
According to published reports, the Jamaican government has
taken responsibility for the payment of the firm's debts.  Radio
Jamaica has said that to date, the five sugar factories have
incurred J$3 billion in debts.




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


ALERIS INT'L: To Phase Out Toronto Coil Coating Facility
--------------------------------------------------------
Aleris International Inc. will be permanently closing its
Toronto, Ontario coil coating facility.  Production will be
phased-out during the first quarter of 2008 and the site will be
permanently closed shortly thereafter.

The facility, which was acquired by Aleris when it acquired the
downstream aluminum business of Corus plc in 2006, employs
64 people and supplies coated aluminum coil for building and
construction, transportation, distribution and consumer durables
applications.

Aleris expects to take a restructuring charge of approximately
US$5 million to US$6 million related to severance, shutdown
costs and asset impairment.  Production will be transferred to
other Aleris facilities in North America and Aleris will
continue to provide the same high quality products and services
that customers expect.

Headquartered in Beachwood, Ohio, Aleris International Inc.
(NYSE: ARS) -- http://www.aleris.com/-- manufactures rolled
aluminum products and offers aluminum recycling and the
production of specification alloys.  The company also
manufactures value-added zinc products that include zinc oxide,
zinc dust and zinc metal.  The company operates 42 production
facilities in the United States, Brazil, Germany, Mexico and
Wales, and employs approximately 4,200 employees.

                        *     *     *

As reported in the Troubled Company Reporter on Sept. 21, 2007,
Standard & Poor's Ratings Services revised its outlook on Aleris
International Inc. to negative from stable.  At the same time
S&P affirmed its 'B+' corporate credit rating and the other
ratings on the company.  Concurrently, S&P assigned a 'B-'
rating to the company's recent US$105 million 9% senior notes
due 2014, which are an add-on to the company's existing US$600
million 9% senior notes due 2014.


ALL AMERICAN: Creditors Committee Files Liquidating Plan
--------------------------------------------------------
The Official Committee of Unsecured Creditors of All American
Semiconductor Inc. delivered to the United States Bankruptcy
Court for the Southern District of Florida a Chapter 11 Plan of
Liquidation and a Disclosure Statement explaining that Plan.

                     Overview of the Plan

The proposed Plan contemplates the liquidation of all of the
Debtor's assets and to investigate and prosecution of all
litigation claims of the estate.  The Plan intends to maximize
the value of recoveries to all valid creditors of the Debtors on
an equitable basis.

The Committee says it will select Kenneth A. Welt as liquidating
trustee who is expected to liquidate and distribute the proceeds
in accordance with the Plan.

                     Treatment of Claims

Under the Plan, these claims are unimpaired and will be paid in
full:

    -- Super-Priority Claims totaling US$8,526,060;
    -- Administrative Claims totaling US$3,227,818;
    -- Priority Tax Claims totaling US$321,443; and
    -- Priority Claims totaling US$468,580.

The Debtor relates that holders of Allowed General Unsecured
Claims, totaling US$34,205,920, will receive at least 32.93% of
their respective claims plus a pro rata share of the initial
distribution amount.

Holders of Allowed Lender Deficiency Claims, totaling
US$9,361,650, is also expected to recover at least 32.93% of
their claims.

Equity Interests will be cancelled on the effective date and
holders will not receive anything under the Plan.

                 About All American Semiconductor

Based in Miami, Florida, All American Semiconductor Inc. (Pink
Sheets: SEMI.PK) -- http://www.allamerican.com/-- distributes
electronic components manufactured by others.  The company
distributes a full range of semiconductors including
transistors, diodes, memory devices, microprocessors,
microcontrollers, other integrated circuits, active matrix
displays and various board-level products.  All American also
distributes passive components such as capacitors, resistors and
inductors; and electromechanical products such as power
supplies, cable, switches, connectors, filters and sockets.  The
company also offers complete solutions for flat panel display
products.

In total, the company offers approximately 40,000 products
produced by approximately 60 manufacturers.  The company has 36
strategic locations throughout North America and Mexico, as well
as operations in China and Western Europe.

The company and its debtor-affiliates filed for Chapter 11
protection on April 25, 2007 (Bankr. S.D. Fla. Lead Case No.
07-12963).  Craig D. Hansen, Esq., Tina M. Talarchyk, Esq., and
Stephen D. Lerner, Esq., at Squire, Sanders & Dempsey L.L.P.,
represent the Debtors.  Mesirow Financial Consulting, LLC serve
as financial advisor to the Committee.  William Hawkins, Esq.,
at Loeb & Loeb, LLP, is the Official Committee of Unsecured
Creditors general bankruptcy counsel.  Jerry M. Markowitz, Esq.,
at Markowitz, Davis, Ringel & Trusty, P.A., is the Committee's
local counsel.  As of Feb. 28, 2007, the Debtors' balance sheet
showed total assets of US$117,634,000 and total debts of
US$106,024,000.


BANCO HIPOTECARIO: Past-Due Loan Ratio Increases 83.2% in Nov.
--------------------------------------------------------------
Banco Hipotecario del Uruguay's past-due loan ratio rose to "a
new all-time high of 83.2%" in November 2007, Business News
Americas reports, citing Uruguayan central bank figures.

BNamericas relates that an ongoing restructuring plan the
Uruguayan government drafted includes injecting up to US$250
million in capital and forming a new unit to manage past-due
loans.  The plan would let Banco Hipotecario transfer 40% of its
loan book to a new agency to decrease the level of past-due
loans to 20%.

Banco Hipotecario will be able to return to lending this year
after being suspended when the Argentine meltdown caused a
severe financial crisis in Uruguay in 2002, BNamericas says,
citing the Uruguayan government.

BNamericas notes that Banco Nacional's profit increased 59.2% to
UYU3.85 billion in January-November 2007, compared to the same
period in 2006, due to stronger revenues and gains from
inflation-linked securities.

Banco Hipotecario had UYU35.2 billion in assets in November
2007, BNamericas states.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
Dec. 27, 2006, Moody's Investors Service assigned these ratings
on Banco Hipotecario del Uruguay:

   -- Foreign currency deposit rating: B2 from Caa1,
      stable outlook

   -- National scale rating for foreign currency deposits:
      A3.uy from Ba2.uy, with a stable outlook

   -- National scale foreign currency debt rating: A2.uy
      from Baa2.uy


CONSTELLATION BRANDS: US$700MM Notes Exchange Offer Expires
-----------------------------------------------------------
Constellation Brands Inc. has extended its offer to exchange
US$700 million aggregate principal amount of its 7.25% Senior
Notes due 2017 for all US$700 million of its outstanding 7.25%
Senior Notes due 2017.

The exchange offer, which had been scheduled to expire on
Jan. 7, 2008 at 5:00 p.m., New York City time, will expire
today, Jan. 10, 2008, at 5:00 p.m., New York City time, unless
further extended by the company.

The extension of the exchange offer has been made to allow
holders of outstanding Original Notes who have not yet tendered
their Original Notes for exchange additional time to do so.  All
other terms, provisions and conditions of the exchange offer
will remain in full force and effect.

As of 5:00 p.m. New York City time, Jan. 7, 2008, $697,499,000
in aggregate principal amount of the Original Notes had been
validly tendered and not withdrawn in the exchange offer,
representing approximately 99.6% of the outstanding principal
amount of the Original Notes.

Persons with questions regarding the exchange offer should
contact the exchange agent, The Bank of New York Trust Company,
N.A., at 212-815-2742.

The company will not receive any proceeds from the exchange
offer, nor will the company's debt level change as a result of
this exchange offer.  The terms of the Exchange Notes and the
Original Notes are substantially identical in all material
respects, except that the Exchange Notes have been registered
under the Securities Act.

A copy of the prospectus for the exchange offer, dated Dec. 6,
2007, and related letter of transmittal, which have been filed
with the United States Securities and Exchange Commission, may
be obtained by calling the exchange agent, The Bank of New York
Trust Company, N.A., at 212-815-2742.

                   About Constellation Brands

Headquartered in Fairport, New York, Constellation Brands Inc.
(NYSE:STZ) -- http://www.cbrands.com/-- has more than 250
brands in its portfolio, sales in approximately 150 countries
and operates approximately 60 wineries, distilleries and
distribution facilities.  The company has market presence in
the U.K., Australia, Canada, New Zealand; Mexico.

Barton Brands Ltd. is the spirits division of Constellation
Brands Inc. is a producer, importer and exporter of a wide range
of spirits products, including brands such as Black Velvet
Canadian Whisky, Ridgemont Reserve 1792 bourbon, and Effen
vodka.

                          *     *     *

As reported in the Troubled Company Reporter-Latin America on
Dec. 3, 2007, Fitch Ratings assigned a 'BB-' rating to a note
registered by Constellation Brands Inc. to fund the purchase
price of Beam Wine Estates Inc., a subsidiary of Fortune Brands
Inc: US$500 million 8.375% senior unsecured note due
Dec. 15, 2014.  Fitch said the rating outlook is negative.


CONSTELLATION BRANDS: UBS Keep Neutral Rating on Firm's Shares
--------------------------------------------------------------
UBS has maintained its "neutral" rating on Constellation Brands
Inc.'s shares, Newratings.com reports.

Newratings.com relates that the target price for Constellation
Brands' shares was decreased to US$25 from US$26.

UBS said in a research note that Constellation Brands' adjusted
earnings per share for the third quarter in fiscal year 2008 is
in-line with the estimates and the consensus.

UBS told Newratings.com that Constellation Brands' "spirits
portfolio has considerable exposure to the value segment," which
an economic slowdown would negatively affect.

Retail in the United Kingdom is still challenging,
Newratings.com says, citing UBS.

Earnings per share estimates for 2008 and 2009 were decreased to
US$1.37 from US$1.41 and to US$1.79 from US$1.82, respectively.

Headquartered in Fairport, New York, Constellation Brands Inc.
(NYSE:STZ) -- http://www.cbrands.com/-- has more than 250
brands in its portfolio, sales in approximately 150 countries
and operates approximately 60 wineries, distilleries and
distribution facilities.  The company has market presence in the
U.K., Australia, Canada, New Zealand; Mexico.

Barton Brands Ltd. is the spirits division of Constellation
Brands Inc. is a producer, importer and exporter of a wide range
of spirits products, including brands such as Black Velvet
Canadian Whisky, Ridgemont Reserve 1792 bourbon, and Effen
vodka.

                          *     *     *

As reported in the Troubled Company Reporter on Dec. 3, 2007,
Fitch Ratings assigned a 'BB-' rating to a note registered by
Constellation Brands Inc. to fund the purchase price of Beam
Wine Estates Inc., a subsidiary of Fortune Brands Inc: US$500
million 8.375% senior unsecured note due Dec. 15, 2014.  The
rating outlook is negative.


GREENBRIER: DA Davidson Keeps Buy Rating on Firm's Shares
---------------------------------------------------------
D.A. Davidson & Co. has kept its "buy" rating on The Greenbrier
Companies' shares, Newratings.com reports.

Newratings.com relates that the target price for The Greenbrier
Companies' shares was decreased to US$30.

D.A. Davidson said in a research note that The Greenbrier
Companies' first quarter earnings per share didn't meet
estimates and consensus.

According to Newratings.com, D.A. Davidson said that The
Greenbrier Companies' revenues surpassed estimates due to
higher-than-expected contribution from its manufacturing unit.

D.A. Davidson told Newratings.com that The Greenbrier Companies'
"overall gross margins" didn't reach estimates.  All segments
reportd posting lower-than-expected margins.

Earnings per share estimates for fiscal year 2008 and fiscal
year 2009 were decreased to US$1.75 from US$3.40 and to US$2.70
from US$3.80, respectively, Newratings.com states.

Headquartered in Lake Oswego, Oregon, The Greenbrier Cos. (NYSE:
GBX) -- http://www.gbrx.com/-- supplies transportation
equipment and services to the railroad industry.  The company
builds new railroad freight cars in its manufacturing facilities
in the US, Canada, and Mexico and marine barges at its U.S.
facility.  It also repairs and refurbishes freight cars and
provides wheels and railcar parts at 30 locations (post Meridian
acquisition) across North America.  Greenbrier builds new
railroad freight cars and refurbishes freight cars for the
European market through both its operations in Poland and
various subcontractor facilities throughout Europe.  Greenbrier
owns approximately 9,000 railcars, and performs management
services for approximately 136,000 railcars.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
Mar. 30, 2007, Moody's Investors Service downgraded the ratings
of The Greenbrier Cos., Inc. -- corporate family to B1, senior
unsecured to B2 (LGD5, 72%) and the speculative grade liquidity
rating to SGL-3.  Moody's said the outlook is now stable.  These
rating actions conclude the review for downgrade prompted by
Greenbrier's acquisition of Meridian Rail Holdings Corp in late
2006.


HASBRO INC: Plans to Improve Productivity in Massachusetts Plant
----------------------------------------------------------------
Hasbro Games, a division of Hasbro, Inc., is planning a design
to improve the productivity and competitiveness of its East
Longmeadow, Massachusetts factory.  The plan will depend on
union agreement to certain work practice changes in order to
make the plant competitive going forward.

Approximately 200 jobs, including both manufacturing and support
personnel, are being impacted.  Affected office employees will
be offered competitive severance packages and outplacement
services. Hasbro intends to negotiate appropriate benefits for
its affected union employees.

"While this was a difficult decision, we are optimistic that the
union will work with us to make the changes necessary to allow
us to become competitive and hopefully secure the substantial
majority of manufacturing jobs based in East Longmeadow," said
David Hargreaves, Executive Vice President, Finance and
Global Operations.

"We value the excellent work being done at our U.S. based
manufacturing facility, and we are prepared to invest
approximately $40 million in the coming years, including $10
million immediately to modernize equipment provided that
we are able to make the necessary changes to become more
efficient," Mr. Hargreaves concluded.

The majority of Hasbro's board game manufacturing will still be
based in Massachusetts and at the company's plant in Waterford,
Ireland.

                        About Hasbro

Headquartered in Pawtucket, Rhode Island, Hasbro, Inc. (NYSE:
HAS) -- http://www.hasbro.com/-- provides children's and family
leisure time entertainment products and services, including the
design, manufacture and marketing of games and toys ranging from
traditional to high-tech.  The company has operations in
Australia, France, Hong Kong, and Mexico, among others.

                        *     *     *

Moody's Investors Service affirmed the Baa3 long-term debt
rating of Hasbro, Inc., and changed the ratings outlook to
positive from stable to reflect the expectation for continued-
strong operating performance and cash flows, leading to further
debt reduction and credit metric improvement over the near-to-
intermediate-term.  Ratings affirmed include the Baa3 senior
unsecured debt rating and the (P)Ba1 rating for subordinated
debt.


MOVIE GALLERY: Wants Court Approval on Cure Procedures
------------------------------------------------------
Movie Gallery, Inc. and its debtor-affiliates ask the U.S.
Bankruptcy Court for the Eastern District of Virginia to approve
procedures to permit the determination of cure amounts for
leases that the Debtors may ultimately assume.

The Cure Procedures will enable the Debtors to ascertain the
cure amounts and determine if a lease should be assumed, based
in part on the associated cure amounts, Kimberly A. Pierro,
Esq., at Kutak Rock, LLP, in Richmond, Virginia, says.

Moreover, the Cure Procedures ensure that in any related
disputes in advance of any potential assumption, the Debtors
will be able to (i) determine the leases that should be assumed
pursuant to a Reorganization Plan or otherwise, and (ii)
calculate accurately the leases' assumption costs.

Ms. Pierro contends that the Procedures will provide the Lessors
with additional time to calculate and assert their proposed
prepetition cure amounts.  Through the Procedures, the Lessors
and the Debtors will also be given additional time to reconcile
and settle on the Leases' cure amounts.

The Cure Procedures are:

   (1) The Debtors will file written notice with the Court, to
       be served with the order approving the Cure Procedures,
       by first class mail upon these  parties-in-interest:

       * each non-Debtor counterparty to each Lease;
       * other appropriate parties-in-interest to the Lease; and
       * the Core Group and the 2002 List.

   (2) The Cure Notice will contain these information:

       * the name and address of each Lessor and other
         appropriate parties-in-interest, if any, to each Lease;

       * the cure amount corresponding to each Lease calculated
         by the Debtors;

       * the telephone numbers and e-mail addresses for the
         various individuals responsible for each Lease at the
         Debtors' Asset Management Department; and

       * the deadline for submitting Cure Statements in
         accordance with the Cure Procedures.

   (3) Any disputing party to the Cure Amounts will contact the
       Debtors' Asset Management Department to discuss any
       related discrepancies; and, at a minimum, the disputing
       party will provide the store number for the disputed
       Lease.

   (4) The disputing party and the Debtors' Asset Management
       Department must reach a resolution regarding the Cure
       Amount on or before 5:00 p.m., prevailing Eastern Time,
       on a date that is no less than 23 days after the date of
       service of the Cure Notice.  Otherwise, the disputing
       party must file with the Court a cure Reconciliation
       Statement within the Cure Statement Deadline, addressed
       to:

       * Movie Gallery, Inc., 900 West Main Street, Dothan,
         Alabama 36301, attention to Jeffry B. Gordon; and

       * Kirkland & Ellis LLP, 200 East Randolph Drive, Chicago,
         Illinois 60601, attention to Anup Sathy, P.C. and Marc
         Carmel.

   (5) With respect to a Lease, each Cure Statement must, at a
       minimum:

       -- be made in writing;

       -- include lessor's name and the store location for the
          lease;

       -- provide an alternate cure amount;

       -- include a breakdown by store by category of all
          amounts claimed, including,without limitation, amounts
          for rent, real estate taxes, insurance and common area
          maintenance; and

       -- all relevant documentation supporting the alternate
          cure amount.

   (6) The Debtors may, in their sole discretion, resolve any
       disputes related to the cure amounts by mutual agreement
       with the disputing party and without further Court order.

   (7) If the Debtors are not able to reach a resolution with
       the disputing party, the Debtors may request a hearing
       before the Court and provide the disputing party, the
       Core Group and the 2002 List with a notice in no less
       than seven days.

   (8) Any entity that fails to timely file and serve a Cure
       Statement will be forever barred, estopped and enjoined
       from asserting, collecting or seeking any amounts on
       account of the cure amounts in excess of the amounts in
       the Cure Notice.  Consequently, the Debtors will be
       forever discharged from any and all indebtedness or
       liability.

   (9) Actions by any party-in-interest, including, without
       limitation, the Debtors and the lessors, will not be
       deemed as an assumption, adoption, rejection or
       termination of any Lease or an acceptance that any Lease
       is executory or unexpired.

The Debtors reserve their rights, in their sole discretion, to
reject or assume any Lease pursuant to Section 365(a) of the
Bankruptcy Code, Ms. Pierro notes.

The Procedures do not deem to alter in any way the prepetition
nature of the leases or the validity, priority or amount of any
claims of a lessor against the Debtors, Ms. Pierro emphasizes.
Moreover, the Procedures are neither deemed to create a
postpetition contract or agreement nor elevate any claims of a
lessor against the Debtors to administrative expense priority.

                       About Movie Gallery

Headquartered in Dothan, Alabama, Movie Gallery Inc. --
http://www.moviegallery.com/-- is a home entertainment
specialty retailer.  The company owns and operates 4,600 retail
stores that rent and sell DVDs, videocassettes and video games.
It operates over 4,600 stores in the United States, Canada, and
Mexico under the Movie Gallery, Hollywood Entertainment, Game
Crazy, and VHQ banners.

The company and its debtor-affiliates filed for Chapter 11
protection on Oct. 16, 2007 (Bankr. E.D. Va. Case Nos. 07-33849
to 07-33853.  Anup Sathy, Esq., Marc J. Carmel, Esq., and
Richard M. Cieri, Esq., at Kirkland & Ellis LLP, represent the
Debtors.  Michael A. Condyles, Esq., and Peter J. Barrett, Esq.,
at Kutak Rock LLP, is the Debtors' local counsel.  The Debtors'
claims & balloting agent is Kutzman Carson Consultants LLC.
When the Debtors' filed for protection from their creditors,
they listed total assets of US$891,993,000 and total liabilities
of US$1,419,215,000.

The Official Committee of Unsecured Creditors has selected
Robert J. Feinstein, Esq., James I. Stang, Esq., Robert B.
Orgel, Esq., and Brad Godshall, Esq., at Pachulski Stang Ziehl &
Jones LLP, as its lead counsel, and Brian F. Kenney, Esq., at
Miles & Stockbridge PC, as its local counsel.

The Debtors' spokeswoman Meaghan Repko said that the company
does not expect to exit bankruptcy protection before the second
quarter of 2008.  The Debtors' exclusive plan filing period
expires on Feb. 13, 2008.  (Movie Gallery Bankruptcy News, Issue
No. 13; Bankruptcy Creditors' Service Inc.;
http://bankrupt.com/newsstand/or 215/945-7000)


MOVIE GALLERY: Wants to Pursue Whitaker & Williams Litigations
--------------------------------------------------------------
Movie Gallery, Inc. and its debtor-affiliates ask the U.S.
Bankruptcy Court for the Eastern District of Virginia to modify
the automatic stay imposed by Section 362(a) of the U.S.
Bankruptcy Code solely to the extent necessary to permit the
Debtors to pursue, obtain and enforce dismissal of two
litigations, and to determine attorneys' fees and costs asserted
against the plaintiffs for damages incurred during the
proceedings.

(1)  The Whitaker RICO Litigation

Three Plaintiffs commenced an action against the Debtors in the
United States District Court for the Middle District of Georgia,
Albany Division, in July 2005.  The Action, styled as Russell
Whitaker, et al., v. MGA, Inc., at al., was commenced by the
Whitaker Plaintiffs composed of:

   (a) Russell Whitaker, doing business as C&B Video's;

   (b) C.R. Gregory, formally doing business as Tiffany's
       Movies; and

   (c) Robert Knighton, formally doing business as C.J.'s Video
       Plus.

In December 2005, the District Court dismissed the Whitaker RICO
Litigation requested by Debtor-affiliate Movie Gallery US, LLC.
The Order was affirmed by the United States Court of Appeals for
the Eleventh Circuit in March 2007.

Pursuant to Rule 38 of the Federal Rules of Appellate Procedure,
the Debtors also filed a claim for damages and costs incurred
during the litigation, which the Eleventh Circuit granted in
part.

As of the date of bankruptcy, the attorneys' fees and costs for
damages asserted by the Debtors was still pending in the
District Court.  The automatic stay arising pursuant to Section
362 of the Bankruptcy Code has stayed the Litigation.

(2) The Williams RICO Litigation

Michael Williams and Marco Williams, doing business as First
Choice Video, commenced a civil action against the Debtors on
March 14, 2007, in the United States District Court for the
Middle District of Alabama, Southern Division, styled as Michael
Williams, et al., v. MGA, Inc., et al., Case Number 1:07-CV-228-
MEF.

In April and May 2007, the Debtor filed with the District Court
a request to dismiss the Williams RICO Litigation, and a motion
for sanctions.

As of the bankruptcy filing, the Debtors' dismissal and
sanctions requests were pending in the District Court.  The
Litigation has been stayed pursuant to Section 362 of the
Bankruptcy Code.

The District Court entered an Order to show cause on Nov. 27,
2007.  The Order provides that any party "has the right to
petition to reinstate [the] Action to pursue any claim . . . not
adjudicated in or discharged by proceedings in the bankruptcy
court."

                Modification of Stay is Necessary

Michael E. Condyles, Esq., at Kutak Rock, LLP, in Richmond,
Virginia, notes that pursuant to Section 362(d)(1) of the
Bankruptcy Code, relevant factors weigh heavily in favor of
modifying the automatic stay to permit the Debtors to proceed
with the Litigations and collect attorneys' fees and costs
against the Plaintiffs.

Continuing the Litigations, Mr. Condyles says, will neither
interfere with the Debtors' Chapter 11 cases nor prejudice the
rights of the Debtors' other creditors.

The modification of the stay is necessary only to permit the
pursuit, and to obtain and enforce the pending determination of
attorneys' fees and costs against the Plaintiffs, Mr. Condyles
assures the Court.

Accordingly, the request allows the Debtors to proceed with
efforts to augment the Debtors' estates with amounts recovered
through the claims, and deter the Plaintiffs from pursuing
further "frivolous litigation" against the Debtors.

"While the Debtors' request presents a rare instance in which
the Debtors themselves are seeking relief from the automatic
stay to proceed with the prepetition litigation pending against
them . . . the interests of the Debtors and the purpose for the
request are aligned," Mr. Condyles asserts.

                       About Movie Gallery

Headquartered in Dothan, Alabama, Movie Gallery Inc. --
http://www.moviegallery.com/-- is a home entertainment
specialty retailer.  The company owns and operates 4,600 retail
stores that rent and sell DVDs, videocassettes and video games.
It operates over 4,600 stores in the United States, Canada, and
Mexico under the Movie Gallery, Hollywood Entertainment, Game
Crazy, and VHQ banners.

The company and its debtor-affiliates filed for Chapter 11
protection on Oct. 16, 2007 (Bankr. E.D. Va. Case Nos. 07-33849
to 07-33853.  Anup Sathy, Esq., Marc J. Carmel, Esq., and
Richard M. Cieri, Esq., at Kirkland & Ellis LLP, represent the
Debtors.  Michael A. Condyles, Esq., and Peter J. Barrett, Esq.,
at Kutak Rock LLP, is the Debtors' local counsel.  The Debtors'
claims & balloting agent is Kutzman Carson Consultants LLC.
When the Debtors' filed for protection from their creditors,
they listed total assets of US$891,993,000 and total liabilities
of US$1,419,215,000.

The Official Committee of Unsecured Creditors has selected
Robert J. Feinstein, Esq., James I. Stang, Esq., Robert B.
Orgel, Esq., and Brad Godshall, Esq., at Pachulski Stang Ziehl &
Jones LLP, as its lead counsel, and Brian F. Kenney, Esq., at
Miles & Stockbridge PC, as its local counsel.

The Debtors' spokeswoman Meaghan Repko said that the company
does not expect to exit bankruptcy protection before the second
quarter of 2008.  The Debtors' exclusive plan filing period
expires on Feb. 13, 2008.  (Movie Gallery Bankruptcy News, Issue
No. 13; Bankruptcy Creditors' Service Inc.;
http://bankrupt.com/newsstand/or 215/945-7000)


MOVIE GALLERY: Wants to Reject Boards Inc. License Agreement
------------------------------------------------------------
Movie Gallery, Inc. and its debtor-affiliates seek authority
from the U.S. Bankruptcy Court for the Eastern District of
Virginia to reject the license agreement and product & support
agreement with Boards Predecessor.  The Debtors also ask the
Court to require Boards to cease using the Debtors' licensed
marks upon the effectiveness of the rejection.

Prior to the Debtors' acquisition of Hollywood Entertainment
Corporation, Hollywood entered into a license agreement in
January 2001, with Boards Predecessor.

Mark J. Wattles, Hollywood's former chief executive officer, is
the owner of Boards Predecessor.

The License Agreement provided that:

   (i) Boards Predecessor reserves a non-exclusive license to
       use Hollywood names, trademarks and likenesses in
       connection with 20 video stores it owned; and

  (ii) upon change in control scenarios, Boards Predecessor has
       the right to require Hollywood or its successor-in-
       interest, to purchase Boards' 20 stores within six months
       at a price to be determined pursuant to valuation
       procedures -- the Put Right.

Hollywood also entered into a product and support agreement with
Boards Predecessor and agreed to supply Boards' stores with
products and operational support services, including, but not
limited to, revenue sharing, accounting, promotions, store
software and credit card collection.

Boards Predecessor operated the stores under the Agreements from
July 2002 to January 2003, and assigned its interests to Boards,
Inc.  Subsequently, Movie Gallery acquired Hollywood in April
2005.  Boards Predecessor notified the Debtors of its election
to exercise the Put Right based on the Debtors' acquisition of
Hollywood.

Kimberly A. Pierro, Esq., at Kutak Rock LLP, in Richmond,
Virginia, disclosed that despite the Debtors' good faith
negotiations, the Debtors and Boards Predecessor have not agreed
on a purchase price for Boards' stores.

In March 2007, Boards Predecessor made a demand for arbitration
regarding the Put Right, which remains outstanding, subject to
the automatic stay.

Ms. Pierro informed the Court that the Debtors have determined
that they no longer wish to remain in a business relationship
with Boards Predecessor.

The Debtors believe that the Agreements are highly favorable to
Boards Predecessor, and Hollywood does not receive fair
compensation for the benefits it provides to Boards.

Ms. Pierro noted that the Debtors are in the process of reducing
their overall number of store locations and have no desire to
purchase Boards' stores.

The Debtors are concerned that Boards' continued operation of
the stores may diminish the integrity of the licensed marks, Ms.
Pierro explains.  By rejecting the Agreements, the Debtors will
be able to reclaim the licensed marks and focus on operating
their business.  Moreover, the Debtors want to discontinue the
time consuming and costly arbitration commenced by Boards, she
added.

                  Boards Video Company Reacts

Boards Video Company, LLC argues that notwithstanding the "Put
Option" which requires the Debtors to purchase Boards' stores,
the Boards Contracts are profit centers for the Debtors'
estates.

Dylan G. Trache, Esq., at Wiley Rein LLP in McLean, Virginia,
discloses that Boards has made a yearly royalties payment of not
less than US$600,000 to Hollywood pursuant to the License
Agreement.  The Contracts were entered into by the parties to
prevent the complete loss of new store locations that Hollywood
was not able to acquire for itself due to financial constraints.
Thus, contrary to the Debtors' assertion, their transactions
with Boards do not burden their estates, Mr. Trache says.

Moreover, Boards would have a substantial rejection claim of not
less than US$30,000,000 against the Debtors in the event of an
allowed rejection of the Contracts, which will affect the
Debtors' unsecured creditors, he says.

According to Mr. Trache, Boards had said it is "willing to waive
the Put Option in the event the Debtors ultimately assume the
Boards Contracts."

The Debtors have not proved that Boards somehow misused or
tarnished the Hollywood marks, Mr. Trache contends. In fact,
maintaining the marks is essential to Boards' interests as it is
to the Debtors' businessm, he adds.

Boards also questions whether the Debtors' proposed rejection is
in good faith, considering that:

   -- Mark Wattles, Hollywood's founder and former CEO and
      current owner of Boards, is a potential investor in
      connection with a possible competing Reorganization Plan;

   -- the rejection of Contracts will cause Boards to:

      (a) lose the goodwill associated with the Hollywood marks;

      (b) incur substantial re-branding expenses to continue
          operations;

      (c) require Boards to enter into individual agreements
          with major movie studios in order to acquire product;
          and

      (d) purchase new information technology and computer
          systems.

In light of the consequences of a rejection of the Boards
Contracts, Boards requires discovery on issues core to the
central question of the Debtors' business judgment, Mr. Trache
tells the Court.  In addition, Mr. Trache continues, the
Debtors' request to require Boards to cease use of the Hollywood
marks upon the rejection of the Contracts must be sought in the
context of an adversary proceeding, by which the Debtors should
be required to re-file any request for equitable or injunctive
relief.

Against this backdrop, Boards asks the Court to (i) sustain its
objection and deny the Debtors' request or alternatively,
continue the hearing and establish a discovery schedule; and
(ii) require the Debtors to re-file any request for equitable or
injunctive relief as an adversary proceeding.

                       About Movie Gallery

Headquartered in Dothan, Alabama, Movie Gallery Inc. --
http://www.moviegallery.com/-- is a home entertainment
specialty retailer.  The company owns and operates 4,600 retail
stores that rent and sell DVDs, videocassettes and video games.
It operates over 4,600 stores in the United States, Canada, and
Mexico under the Movie Gallery, Hollywood Entertainment, Game
Crazy, and VHQ banners.

The company and its debtor-affiliates filed for Chapter 11
protection on Oct. 16, 2007 (Bankr. E.D. Va. Case Nos. 07-33849
to 07-33853.  Anup Sathy, Esq., Marc J. Carmel, Esq., and
Richard M. Cieri, Esq., at Kirkland & Ellis LLP, represent the
Debtors.  Michael A. Condyles, Esq., and Peter J. Barrett, Esq.,
at Kutak Rock LLP, is the Debtors' local counsel.  The Debtors'
claims & balloting agent is Kutzman Carson Consultants LLC.
When the Debtors' filed for protection from their creditors,
they listed total assets of US$891,993,000 and total liabilities
of US$1,419,215,000.

The Official Committee of Unsecured Creditors has selected
Robert J. Feinstein, Esq., James I. Stang, Esq., Robert B.
Orgel, Esq., and Brad Godshall, Esq., at Pachulski Stang Ziehl &
Jones LLP, as its lead counsel, and Brian F. Kenney, Esq., at
Miles & Stockbridge PC, as its local counsel.

The Debtors' spokeswoman Meaghan Repko said that the company
does not expect to exit bankruptcy protection before the second
quarter of 2008.  The Debtors' exclusive plan filing period
expires on Feb. 13, 2008.  (Movie Gallery Bankruptcy News, Issue
No. 13; Bankruptcy Creditors' Service Inc.;
http://bankrupt.com/newsstand/or 215/945-7000)


OPEN TEXT: USCI Selects Open Text's Accounts Payable System
-----------------------------------------------------------
Utility Service Company, Inc. has selected Open Text's Livelink
ECM - Accounts Payable solution to add ECM capabilities to its
Oracle E-Business Suite implementation.  The solution will
eliminate paper processes and manual data entry to improve
accounts payable efficiency and reduce costs.  But Utility
Service's solution will also help the company provide more
complete views of customer or project information across systems
and help the company manage business and compliance rules.

Utility Service chose the Oracle E-Business Suite for its core
ERP solution to drive centralization of its accounts payable
processes.  To go with its new Oracle solution, the company
began looking at ECM solutions to help manage a fast-growing
volume of documents from accounts payable, which had become
increasingly difficult to manage with the company's rapid
growth.  At the top of Utility Service's shopping list was a
solution that could eliminate paper, manage documents
efficiently online, and work seamlessly with the company's new
Oracle E-Business Suite implementation.

Utility Service chose Open Text's solution because of its
ability to manage all accounts payable documents and document
processes, plus archiving and storage.  A major driver for
Utility Service's decision was that Open Text's solution
utilizes Web services to manage and provide access to content in
multiple systems, allowing the company to connect structured
content in Oracle to related unstructured content, such as email
and other information, stored in other systems.  This allows
Utility Service staff to view content in the context of a
specific customer account or project, regardless of the system
where the content is stored. It also helps the company manage
business and compliance rules for content consistently across
systems.

"The Oracle E-Business Suite has been a powerful solution to
help us reduce costs and increase productivity," said Utility
Service Co. IT Director, David Al-Khazraji.  "But to help us get
a handle on documents, in particular the 40,000+ invoices we
have to process every year, we needed an ECM solution that could
tie in tightly with Oracle.  Open Text offered all the expertise
and capabilities we needed, with the added plus of a Web
services-based solution that will allow us to provide a unique
360-degree view of each customer.  This means managers working
with a customer have access to all relevant information, without
having to log in to different systems.  This saves time and
improves productivity, while helping staff make the best
decisions with all the information at hand."

"USCI is a clear example of how companies can take a strategic
approach to a difficult challenge like accounts payable and not
only improve the way they handle invoices, but also deliver
broader benefits that can improve their business and their
bottomline," said Vice President and General Manager of Open
Text's Oracle Solutions Group, Ron Vangell.

Longer term, according to Mr. Al-Khazraji, the company will look
for ways to extend its Open Text solution.  One area of interest
involves contract governance: Ensuring that Utility Service
consultants are staying within the scope of work defined by
contracts, and that the company's project teams are managing
milestones and change orders properly to avoid penalties and
delays.  "Managing contract details is critical.  We think Open
Text's solution working with Oracle's can help us manage these
details more efficiently, so that we can reduce these risks and,
more importantly, improve services to customers," added Mr. Al-
Khazraji.

                   About Utility Service Co.

Based near Atlanta, Georgia, Utility Service Co. Inc. is a
leading provider of services that help cities, counties and
other government organizations purchase and manage water tanks.
It maintains thousands of elevated tanks under full-service
maintenance contracts throughout the U.S. and also provides a
full-range of integrated water tank services, including sales
and leasing of new tanks, cellular antenna site marketing and
management, and communication site construction.

                        About Open Text

Headquartered in Waterloo, Ontario, Open Text Corp. (NASDAQ:
OTEX, TSX: OTC) -- http://www.opentext.com/-- provides
Enterprise Content Management solutions that bring together
people, processes and information in global organizations.  The
company supports approximately 20 million seats across 13,000
deployments in 114 countries and 12 languages worldwide.  It has
a field office in Mexico.

                         *     *     *

As reported in the Troubled Company Reporter-Latin America on
Nov. 14, 2007, Standard & Poor's Ratings Services has revised
its outlook on Open Text Corp. to stable from negative.  At the
same time, S&P affirmed the ratings, including the 'BB-' long-
term corporate credit rating, on the company.  At Sept. 30,
2007, Open Text had US$341 million of debt outstanding.


X-RITE INC: Issues Employment Inducement Restricted Stock Awards
----------------------------------------------------------------
X-Rite Incorporated, in accordance with NASDAQ Marketplace Rule
4350, has issued new inducement restricted stock awards to two
non-executive employees on Jan. 9, 2008.  X-Rite issued 70,572
restricted shares to each of Richard Herbert and Lisa Herbert
pursuant to their respective employment agreements with X-Rite
that were entered into in connection with the Pantone
acquisition.

Each restricted stock award will vest ratably over a period of
three years with one-third of the award vesting on October 24 of
each year commencing on Oct. 24, 2008 and ending on Oct. 24,
2010.

                        About X-Rite

Headquartered in Grandville, Michigan, X-Rite Incorporated
(Nasdaq: XRIT) -- http://www.xrite.com/-- offers color
measurement technology solutions comprised of hardware, software
and services for the verification and communication of color
data.  The company serves a broad range of industries, including
graphic arts, digital imaging, industrial and retail color
matching, and medical, among other industries.  X-Rite is
global, with 21 offices throughout Europe, Asia, and the
Americas, serving customers in 100 countries.

The X-Rite Latin America sales team provides assistance to
customers in Mexico, Central and South America, and the
Caribbean.  X-Rite's sales team works together with highly
qualified local vendors and distributors to ensure the best
possible personalized customer assistance, offering a wide and
unparalleled array of products, support and repair services.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
Oct. 3, 2007, Moody's Investors Service has confirmed X-Rite,
Inc.'s B1 corporate family rating, affirmed the speculative
grade liquidity rating of SGL-1 and revised the outlook to
negative in view of the additional leverage and integration risk
associated with the company's recently announced acquisition of
Pantone, Inc.


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


GRAN TIERRA: Reports Production Exit Rate of 3,300 BOPD in 2007
---------------------------------------------------------------
Gran Tierra Energy Inc., reported that its net after royalty
production at the end of 2007 had risen to approximately 3,300
barrels of oil per day as a result of growing production
capacity from exploration drilling success during the year.

Average oil production in Colombia has grown to approximately
2,700 BOPD, net after royalty, compared to 2,000 BOPD reported
in November 2007.  This continued growth in production is the
result of expanded well production capacity and infrastructure
handling capacity.  Average oil production in Argentina has
remained stable at approximately 600 BOPD, net after royalty.

Gran Tierra Energy has an active development drilling and
exploration drilling campaign budgeted for 2008.  This includes
six development wells in oil discoveries made in Colombia in
2007, and three oil exploration wells, two in Colombia and one
in Argentina.

"Gran Tierra Energy has had exceptional exploration success in
2007 which is currently being developed and is resulting in
substantial growth in production.  We will be continuing our
development drilling through 2008 to increase our production
capacity, in addition to undertaking additional oil exploration
efforts to further define the potential of our acreage in
Colombia, Argentina and Peru," stated Dana Coffield, President
and Chief Executive Officer of Gran Tierra Energy Inc.

                      About Gran Tierra

Gran Tierra Energy Inc. (OTCBB: GTRE.OB) --
http://www.grantierra.com/-- is an international oil and gas
exploration and development company headquartered in Calgary,
Canada, incorporated and traded in the United States and
operating in South America.  The company currently holds
interests in producing and prospective properties in Argentina,
Colombia and Peru.

                        *     *     *

Management disclosed that the company's ability to continue as a
going concern is dependent upon obtaining the necessary
financing to acquire oil and natural gas interests and
generating profitable operations from its oil and natural gas
interests in the future.  The company incurred a net loss of
US$1.9 million for the nine-month period ended Sept. 30, 2006,
and, as of Sept. 30, 2006, had an accumulated deficit of US$4.1
million.




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


ELECTRONIC DATA: Flemish Government Renews Pact w/ EDS-Telindus
---------------------------------------------------------------
Flemish Government has awarded the Electronic Data System
Corp.'s EDS-Telindus Consortium a renewal of its information
communications technology contract.  The contract has a seven-
year term and is worth approximately EUR582 million (US$831
million), the largest outsourcing contract ever awarded in
Belgium.

The new agreement includes a broad package of information
technology services including end-user support and management of
end-user infrastructure to ensure the availability of the ICT
environment for the Flemish Government.  Electronic Data and
Telindus have been in partnership at the Flemish Government
since 2003.

"Luc Chauvin, the ICT manager of the Flemish Government, and his
team have introduced a very open and very flexible outsourcing
model that stimulates multi-vendor integration, continuous
innovation and price competitiveness," said Electronic Data
Belgium managing director, Eric Van Bael.  "We have put the best
minds of EDS and Telindus together to live up to these very high
standards of execution and are extremely proud that we are once
again selected as the preferred partner of the Flemish
Government."

"Winning this contract is very important for Telindus Belgacom
ICT and EDS, and it proves that our partnership is able to
deliver convincing solutions for complex IT landscapes," added
director Corporate Market for Telindus Belgacom ICT, Jan De
Schepper.

"Thanks to our experience and business knowledge, the EDS-
Telindus Consortium has been able to respond promptly and with
flexibility to the extremely high expectations and quality
standards of the Flemish Government and its end-users," said
EDS-Telindus Consortium managing director, Patrick Urkens.

Under this agreement, Electronic Data is responsible for system
and application management, application development and support,
service desk, and server, storage and mainframe infrastructure.
Telindus is responsible for the network, PC support and security
of the Flemish Government's ICT systems.

Work on the new contract begins Feb. 1, 2008, with all new and
renewed services and supporting tools scheduled to be fully
implemented in accordance with the new contract by Sept. 1,
2008.

                        About Telindus

Telindus is a Belgian company offering ICT solutions and
services.  Telindus serves business and public market needs as a
solution and sourcing partner, delivering secured converged
networking, and secured systems & applications underpinned by
management and support services.  With over 37 years experience
in ICT, Telindus is investing considerably in expertise to
service modern IT and telecommunications infrastructures
throughout their life cycle.  Telindus' enviable track record
and longstanding partnerships with leading equipment suppliers
offers a safe route for enterprises, telecom operators and
government bodies looking to deploy long-lasting ICT solutions.
In January 2006, Telindus joined the Belgacom Group to become
the IT Services Branch of a new business leader in the market.

                 About Electronic Data System

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.  The
company founded the information technology outsourcing industry
more than 40 years ago.  The company 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.  The
company 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.


HEALTHSOUTH CORP: Sept. 30 Balance Sheet Upside-Down by US$1.5BB
----------------------------------------------------------------
HealthSouth Corporation's consolidated balance sheet at
Sept. 30, 2007, showed US$2.53 billion in total assets, US$3.55
billion in total liabilities, US$93.6 million in minority
interest in equity of consolidated affiliates, and US$387.4
million in convertible perpetual preferred stock, resulting in a
US$1.50 billion total shareholders' deficit.

The company's consolidated balance sheet at Sept. 30, 2007, also
showed strained liquidity with US$668.9 million in total current
assets available to pay US$1.02 billion in total current
liabilities.

Net income was US$287.6 million for the third quarter of 2007
compared to a net loss of US$76.1 million for the third quarter
of 2006.   Net income in the third quarter of 2007 included
approximately US$40.4 million of post-tax gains associated with
the company's divesture of its surgery centers, outpatient, and
diagnostic divisions in the second and third quarters of 2007.

Net income for the quarter also included a US$281.1 million
income tax benefit as a result of the recovery of federal income
taxes paid and associated interest related to tax years 1996
through 1999.  As previously disclosed, in October 2007, the
company received a US$440.0 million income tax recovery from the
Internal Revenue Service.

Consolidated net operating revenues were US$431.6 million for
the third quarter of 2007 compared to US$413.5 million for the
third quarter of 2006.  Net operating revenues from inpatient
hospitals were US$383.5 million, representing a 5.1% increase
over the same quarter of 2006.  This increase was primarily
attributable to an increase in the company's patient case mix
index and continued compliant case growth, both of which
increased revenue per discharge, offset by slightly lower
discharges quarter over quarter due primarily to nine hospitals
that moved from a 60% compliance threshold to a 65% compliance
threshold under the 75% Rule on July 1, 2007.

Operating earnings, a non GAAP measure used by the company as an
indicator of financial performance, were US$43.3 million for the
third quarter of 2007 compared to operating earnings of
US$28.7 million for the third quarter of 2006.

"We saw good progress in the current quarter as both revenues
and operating earnings improved over prior year," said Jay
Grinney, president and chief executive officer of HealthSouth.
"Inpatient hospital revenues were up 5.1% and salaries and
benefits improved as a percent of net operating revenues.  In
addition, based on industry data published through the Uniform
Data System for Medical Rehabilitation for the second quarter of
2007, our hospitals continued to grow their market share of
compliant cases. This industry information, as reported on a
quarter lag, showed a 6.7% compliant case growth by HealthSouth
during the second quarter of 2007 compared to an average 1.8%
decline for non-HealthSouth rehabilitation sites, which
reinforces our role as the nation's preeminent provider of
inpatient rehabilitative services."

The company reported a pre-tax loss from continuing operations
of US$31.1 million for the third quarter of 2007 compared to its
pre-tax loss from continuing operations of US$56.0 million for
the third quarter of 2006.  The company's pre-tax loss from
continuing operations for the third quarter of 2007 included an
US$8.6 million gain related to the sale of its remaining
investment in Source Medical Solutions Inc.

                   Cash Flow and Balance Sheet

Cash and cash equivalents were US$15.9 million as of Sept. 30,
2007. Total debt was US$2.4 billion.  Capital expenditures were
US$10.0 million for the quarter and US$25.2 million for the
year-to-date period.

The company's government, class action, and related settlements
liability decreased by US$24.7 million during the third quarter
of 2007 and by US$141.3 million since Dec. 31, 2006.

Total debt outstanding decreased from US$3.4 billion as of
Dec. 31, 2006, to US$2.4 billion as of Sept. 30, 2007.

During the third quarter of 2007, the company used available
cash and borrowings on its revolving credit facility to redeem
approximately US$32.0 million of its 10.75% Senior Notes due
2016.

Full-text copies of the company's consolidated financial
statements for the quarter ended Sept. 30, 2007, are available
for free at http://researcharchives.com/t/s?26e4

                     About HealthSouth Corp.

Headquartered in Birmingham, Alabama, HealthSouth Corporation
(NYSE: HLS) -- http://www.healthsouth.com/-- provides inpatient
rehabilitation services.  Operating in 26 states across the
country and in Puerto Rico, HealthSouth serves more than 250,000
patients annually through its network of inpatient
rehabilitation hospitals, long-term acute care hospitals,
outpatient rehabilitation satellites, and home health agencies.


HORNBECK OFFSHORE: Purchases Superior Offshore's Support Vessel
---------------------------------------------------------------
Hornbeck Offshore Services, Inc. has entered into a definitive
asset purchase agreement with Superior Offshore International,
Inc., to acquire the Superior Achiever, a T-22 class DP-3 new
generation multi-purpose support vessel (MPSV) and related
owner-furnished equipment, currently under construction at
Merwede Shipyard in Holland with an anticipated fourth quarter
2008 delivery.  Merwede Shipyard is also building for Hornbeck
Offshore the HOS Iron Horse, a T-22 class DP-3 MPSV of the same
design, with an expected fourth quarter 2009 delivery.

With the pending acquisition of the Superior Achiever, the
company's MPSV program now consists of four vessels.  The
closing with Superior is subject to customary conditions,
including third party consents, and is expected to occur on or
before Jan. 21, 2008.  Hornbeck Offshore has also agreed to a
five-year time charter with Superior Offshore for the Superior
Achiever or another acceptable vessel at a dayrate commensurate
with the company's target investment parameters.  Superior will
have the option to terminate the charter with 90-days' advance
notice at the end of each sequential six-month period within the
term.  The definitive agreement also provides that Hornbeck and
Superior will agree to negotiate in good faith toward the
establishment of a non-exclusive joint marketing and cooperation
agreement and that the parties will endeavor to seek mutually
beneficial business opportunities utilizing their complementary
resources.

Hornbeck Offshore also announced plans to expand its current
offshore supply vessel (OSV) newbuild program.  The company has
contracted for the construction of two additional proprietary
240 ED class OSVs with Atlantic Marine in Jacksonville, Florida,
which is the same U.S. shipyard that is currently building four
identical "sister vessels" for Hornbeck.  The two new vessels
are anticipated to be delivered in 2010.  With these incremental
newbuilds, the company's fourth OSV newbuild program now
consists of vessel construction contracts with three domestic
shipyards to build 16 DP-2 vessels comprised of six proprietary
240 ED class OSVs, nine proprietary 250 EDF class OSVs and one
285 class new generation OSV.

In addition, the company has agreed to purchase a leasehold
interest in a parcel of improved real estate adjacent to HOS
Port, its existing shore-base facility located in Port Fourchon,
Louisiana. The new facility lease has close to seven years
remaining on its initial term, with four additional five-year
renewal periods.  The acquisition of this additional shore-base
will support Hornbeck Offshore's rapidly expanding operations in
the Gulf of Mexico's largest deepwater offshore port and will
provide more lay-down area in support of its growing MPSV
program.  The combined acreage of the two adjoining properties
will be approximately 60 acres, more than double the present
size of HOS Port.  The acquired facility, currently known as the
"Rowan Base," will also increase the company's shore-base
lifting capacity by two cranes, and will extend its waterfront
bulkhead by over 1,000 additional linear feet to nearly 3,000
total linear feet.  The acquisition closing is subject to
customary conditions, including third party consents,
environmental testing and regulatory approvals, and is expected
to occur in mid-January 2008.

The company plans to fund the incremental expected cost of these
transactions of approximately US$190 million in the aggregate,
along with its previously announced newbuild and conversion
programs, from projected cash flows from operations and an
expanded revolving credit facility.  In conjunction with these
announcements, Hornbeck Offshore is in the process of increasing
its revolving credit facility with its existing bank group to a
borrowing base of at least US$200 million, up from US$100
million.  The credit facility, which is presently undrawn, has
an accordion feature that allows for a maximum available
borrowing base of US$250 million.

                     About Superior Offshore

Superior Offshore International Inc. provides subsea
construction and commercial diving services to the offshore oil
and gas industry, serving operators internationally and
domestically in the outer continental shelf of the U.S. Gulf of
Mexico.  Construction services include installation, upgrading
and decommissioning of pipelines and production infrastructure.
Commercial diving services include inspection, maintenance and
repair services and support services for subsea construction and
salvage operations.  The company also operates a
construction/fabrication division.  Superior Offshore operates a
fleet of nine service vessels and provides remotely operated
vehicles (ROVs) and saturation diving systems for deepwater and
harsh environment operations.

                About Hornbeck Offshore Services

Based in Covington, Louisiana, Hornbeck Offshore Services Inc.
(NYSE: HOS) -- http://www.hornbeckoffshore.com/-- through its
subsidiaries, provides offshore supply vessels for the offshore
oil and gas industry primarily in the United States Gulf of
Mexico and internationally, including Puerto Rico.  Hornbeck
Offshore currently owns a fleet of over 80 vessels primarily
serving the energy industry.

                        *     *     *

As of July 30, 2007, the company holds Moody's Ba3 long-term
corporate family rating, senior secured debt, and probability of
default.  Moody's said the outlook is negative.

Standard & Poor's also placed the company's long-term foreign
and local issuer credit ratings at BB-.  S&P said the outlook is
stable.


RENT-A-CENTER: To Install 500 Diebold Express Cash Recyclers
------------------------------------------------------------
Rent-A-Center Inc. has recently partnered with Diebold, Inc. to
install seven Diebold Express Cash Recyclers as part of an
agreement by which Rent-A-Center will purchase 500 units through
the next two and a half years.

The cash recyclers automatically count, authenticate and
securely safeguard cash deposited by clients.  That same cash is
later dispensed for customer cash withdrawals.  "Diebold is
pleased to provide Rent-A-Center with a solid solution that
enables it to diversify its business offerings," said Charles E.
Ducey Jr., Diebold senior vice president, global development and
service.

The Express Cash Recyclers serve high- and low-volume
transactions, expedite customer service and eliminate manual
cash counting.  They also significantly reduce cash exposure and
heighten cash transaction speed and accuracy, according to Rent-
A-Center vice president for financial services, Brent Turner.

"Diebold's ECRs give Rent-A-Center a secure means to control and
distribute cash and provide the best customer service without
the physical security products that can distract from the
overall customer experience," Mr. Turner said.

Diebold Express Cash Recyclers have these features:

   - a UL 291 level 1 safe

   - a Microsoft(R) Windows(R)-based software application that
     drives the cash recycler and processes all transactions for
     high-level cash handling efficiency and accuracy

   - cash-inventory control and electronic recording

   - reports that assist with balancing

Diebold Inc. teamed with Arcatech Systems, a leading supplier of
transaction automation components, to design and manufacture
Express Cash Recyclers to penetrate the teller market with an
automated recycling solution specifically designed for North
America.

                       About Diebold

Diebold, Incorporated (NYSE: DBD) -- http://www.diebold.com--
provides integrated self-service delivery and security systems
and services.  It employs more than 17,000 associates with
representation in nearly 90 countries worldwide and is
headquartered in North Canton, Ohio, USA.  The company reported
revenue of US$2.9 billion in 2006 and is publicly traded on the
New York Stock Exchange under the symbol "DBD."

                    About Rent-A-Center

Based in Plano, Texas, Rent-A-Center, Inc. (Nasdaq:RCII) --
http://www.rentacenter.com/-- operates the largest chain of
consumer rent-to-own stores in the U.S. with 2,751 company
operated stores located in the U.S., Canada, and Puerto Rico.
The company also franchises 297 rent-to-own stores that operate
under the "ColorTyme" and "Rent-A-Center" banners.

                        *    *    *

Standard & Poor's Ratings Services assigned BB long-term foreign
and local issuer credit ratings to Rent-A-Center Inc. on October
2006.  The ratings still hold to date.

Moody's Investors Service assigned low-b ratings to Rent-A-
Center Inc., including Ba3 long-term corporate family rating,
Ba2 bank loan debt, B2 senior subordinate rating and Ba3
probability of default rating.  All ratings still hold to date.




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


DIRECTV: Increases Movie Channels in Trinidad & Tobago
------------------------------------------------------
DirectTV has increased its movie channels in Trinidad & Tobago,
Driselle Ramjohn at The Trinidad and Tobago Express reports.

DirecTV told The Express that it is now considering the upgrade
due to queries from clients from the firm Flow who were affected
by a recent channel line-up change by their provider.  It
explained to The Express, "With all the changes taking place
with the (Flow) cable company's movie package offerings, many
customers are expressing frustration, and seeking out
alternatives.  DirecTV has positioned itself to be the
alternative, by building and improving on their movie offering."

The Express notes that Flow took these movie channels off their
basic line-up:

          -- HBO,
          -- Cinemax,
          -- Starz, and
          -- Showtime.

The report says that Flow launched an optional movie package
that include:

          -- HBO Caribbean,
          -- HBO East,
          -- HBO Plus East,
          -- Cinemax East, and
          -- Cinemax West.

According to The Express, the new movie channels are available
by subscription only, at an additional cost of US$64.99 for
analogue customers.  Digital clients will have to pay extra for
the movie channels and the other channel offerings available to
them on that system.

DirecTV commented to The Express, "A recent addition of three
movie channels to their Movie City Package pushed the offering
up to 19 premium movie channels, comprised of HBO, Cinemax and
the Movie City Package, which consists of nine premium movie
channels.  This particular package is currently not available on
cable's line-up."

Some Flow clients have transferred to DirecTV.  For almost the
same amount of money, DirecTV clients could get almost twice as
many movie channels, The Express states, citing the DirecTV
marketing department.

Headquartered in El Segundo, California, The DIRECTV Group Inc.
(NYSE:DTV) -- http://www.directv.com/-- provides digital
television entertainment in the United States and Latin America.
It has two segments, DIRECTV U.S. and DIRECTV Latin America.
The DIRECTV U.S. segment provides direct-to-home digital
television services in the multichannel video programming
distribution industry in the United States.  The DIRECTV Latin
America segment provides digital direct-to-home digital
television services to approximately 1.6 million subscribers in
27 countries, including Brazil, Argentina, Venezuela, and Puerto
Rico.

                        *     *     *

In April 2007, Standard & Poor's Ratings Services affirmed the
'BB' corporate credit and 'BB-' senior unsecured debt rating on
The DIRECTV Group Inc.  S&P said the outlook is stable.

In addition, Standard & Poor's raised the bank loan rating on
US$2 billion of credit facilities at DIRECTV Holdings LLC, a
wholly owned subsidiary of The DIRECTV Group Inc, to 'BB+' from
'BB' and revised the recovery rating to '1' from '3'.




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


BANCO HIPOTECARIO: Past-Due Loan Ratio Increases 83.2% in Nov.
--------------------------------------------------------------
Banco Hipotecario del Uruguay's past-due loan ratio rose to "a
new all-time high of 83.2%" in November 2007, Business News
Americas reports, citing Uruguayan central bank figures.

BNamericas relates that an ongoing restructuring plan the
Uruguayan government drafted includes injecting up to US$250
million in capital and forming a new unit to manage past-due
loans.  The plan would let Banco Hipotecario transfer 40% of its
loan book to a new agency to decrease the level of past-due
loans to 20%.

Banco Hipotecario will be able to return to lending this year
after being suspended when the Argentine meltdown caused a
severe financial crisis in Uruguay in 2002, BNamericas says,
citing the Uruguayan government.

BNamericas notes that Banco Nacional's profit increased 59.2% to
UYU3.85 billion in January-November 2007, compared to the same
period in 2006, due to stronger revenues and gains from
inflation-linked securities.

Banco Hipotecario had UYU35.2 billion in assets in November
2007, BNamericas states.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
Dec. 27, 2006, Moody's Investors Service assigned these ratings
on Banco Hipotecario del Uruguay:

   -- Foreign currency deposit rating: B2 from Caa1,
      stable outlook

   -- National scale rating for foreign currency deposits:
      A3.uy from Ba2.uy, with a stable outlook

   -- National scale foreign currency debt rating: A2.uy
      from Baa2.uy


* URUGUAY: Moody's Says Outlook on Banks Remain Stable
------------------------------------------------------
Moody's Investors Service sees a steady outlook for the low
average D- bank financial strength rating of Uruguayan banks,
citing better asset quality and profitability, and improved
regulatory supervision.  The agency also points to the
stabilizing effects of significant foreign and government
ownership, which underpins the deposit ratings of the Uruguayan
banks and additionally has a positive impact on access to
resources, franchise development, and risk management.

However, Moody's adds that its ratings are constrained by the
still-challenging operating environment and by the limited
generation of consistent income from financial intermediation --
despite a generally positive trend in lending and deposit
activity deriving from an improving economy.  Cost controls also
remain a concern, the agency says.

The report emphasizes that the system's high level of
dollarization, at nearly 86% of total deposits, limits the
Central Bank of Uruguay's ability to act as lender of last
resort in case of stress.

"Nevertheless," Moody's points out, "banks' profitability has
been increasing, underpinned by the wide margin between deposits
and the high rates offered by the Uruguayan government on its
securities, and to a lesser extent, by the expansion of loan
portfolios."

Aided by important write-offs and restructurings, the quality of
the banks' balance sheets has also improved, in the rating
agency's opinion, although the government-owned banks continue
to try and deal with legacies from the 2002 crisis in the form
of high levels of past-due loans.

In any case, Moody's observes that the system's asset quality
overall is stronger and, therefore, loan loss provisions
stemming from seasoning of the new loan portfolios are likely to
be contained.  Prudent risk management and adequate risk
monitoring, particularly by foreign banks, play a part in this
likelihood.

"After suffering substantial outflows in the wake of the
crisis," the rating agency says, "liquidity has been enhanced by
the banks' shift towards resident deposits and away from
nonresident deposits."  Liquidity is also supported by holdings
of liquid Uruguayan government securities though rated low by
Moody's.

This is not to say that Moody's does not have certain concerns
about Uruguay's banking industry.  According to its report, "the
banks continue to be challenged to increase the share of more
stable recurring earnings from loans and fees and commissions;
moreover, commercial loans represent only a small percentage of
the banks' assets, and competition for good credit quality has
become fierce."

Finally, the rating agency identifies Uruguay's high labor costs
and entrenched bank unions as high obstacles to management
success in smoothing operating efficiency.




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


CHRYSLER LLC: Certified Pre-Owned Vehicle Sales Up 5% in 2007
-------------------------------------------------------------
Posting its sixth consecutive year of sales growth, Chrysler LLC
reported that its Chrysler, Jeep(R) and Dodge dealers sold
122,028 Certified Pre-owned Vehicles year-to-date in 2007, a 5
percent increase from 2006 sales of 116,577 units.

For the year, Chrysler brand sales increased 2 percent to 39,924
units; Jeep brand sales jumped 12 percent to 31,388 units and
Dodge brand sales rose 2 percent to 50,716 units.

Select certified-used vehicles posted improvement across all
three brands in 2007 including the Chrysler 300 with sales up 34
percent to 6,711 units; Jeep Liberty sales were up 9 percent to
8,926 units and Dodge Ram pickup truck climbed 4 percent to
10,835 units.  For the month of December, sales declined 5
percent to 8,860 units.

"As the fastest growing CPOV brand for the past six years, 2007
was another record year for our Brand Spankin' Used(R) brand,"
Director of Remarketing, Peter Grady said.  "However, it is
important to note we could not sustain this type of record-
breaking success without our solid dealer network, who work
diligently each month to sell certified-used vehicles and invite
new customers to Chrysler's CPOV brand."

Chrysler offers one of the most comprehensive Certified Pre-
owned Vehicle programs in the industry.  For a vehicle to be
certified under Chrysler's used-vehicle program, it must be a
2003 through 2008 model pre-owned vehicle with less than 65,000
miles and pass a stringent 125-point mechanical, safety and
condition standard inspection.  Chrysler certified-used vehicles
are backed by an eight-year/80,000-mile powertrain limited
warranty, 24-hour, 365-day full roadside assistance with a US$35
per day rental car allowance and a three-month or 3,000-mile
Maximum Care warranty, in addition to a Carfax vehicle history
report and buyback guarantee.

Marketed as "Brand Spankin' Used," Chrysler Certified Pre-Owned
Vehicles are sold only through Chrysler, Jeep and Dodge
dealerships that have had a comprehensive validation of the
dealership's facilities, operational processes, salesperson and
technician training accreditation before they are authorized to
sell Chrysler Certified Pre-Owned Vehicles.

Used vehicle shoppers can learn more about Chrysler's Brand
Spankin' Used Certified Pre-owned Vehicle program as well as
find detailed inventory and dealer listings online at
http://www.brandspankinused.comor by searching independent,
used, vehicle search engines including AutoTrader.com, Cars.com,
AutoExtra.com and AutoMart.com.

                      About Chrysler LLC

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
Dec. 11, 2007, Standard & Poor's Ratings Services revised its
recovery rating on Chrysler's US$2 billion senior secured
second-lien term loan due 2014.  The issue-level rating on this
debt remains unchanged at 'B', and the recovery rating was
revised to '3', indicating an expectation for meaningful (50% to
70%) recovery in the event of a payment default, from '4'.


PETROLEOS DE VENEZUELA: Expands El Palito Plant to Boost Output
---------------------------------------------------------------
Venezuelan state-run oil firm Petroleos de Venezuela SA said in
a statement that it will expand its El Palito plant to boost the
production of gasoline components.

Business News Americas relates that Carabobo-based El Palito
processes some 140,000 barrels per day to produce fuels for the
Venezuelan market.  Petroleos de Venezuela had been buying
significant amounts of gasoline components in recent months from
other nations to meet domestic demand.

According to BNamericas, the pre-ignition catalytic converter
project for El Palito will increase the flexibility of the
plant's fluid catalytic cracking plant.

Petroleos de Venezuela said in a statement that it acquired the
needed equipment for the expansion.

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

                        *     *     *

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


PETROLEOS DE VENEZUELA: Cuts Int'l Oil Buyers' Payment Term
-----------------------------------------------------------
Venezuelan state-run oil firm Petroleos de Venezuela SA said in
a statement that it has cut the payment term for international
crude oil buyers to 8 days from the previous 30-day term.

Petroleos de Venezuela told Business News Americas that the
reduction of the payment term was made to protect Venezuela's
interests in the international oil market.

According to Petroleos de Venezuela's statement, several oil
producers use an 80-day payment term to consolidate benefits
associated with the 22-day reduction.

"In our case, this money was unjustly held in the hands of the
buyer for too long," Petroleos de said in a statement.

Petroleos de Venezuela told the Voice of America that having the
payments sooner will let it re-invest its income quickly.

BNamericas relates that the payment term reduction was also due
to the "constant" depreciation of the US dollar and high product
quality expectations.

Industry officials told Enrique Andres Pretel at Reuters that
Petroleos de Venezuela "periodically faces cash crunches"
despite high crude prices.  Much of the firm's income goes to
Venezuelan President Hugo Chavez's social programs "for his
majority poor backers."

The reduced payment term affected "spot sales," Reuters says,
citing a source familiar with Petroleos de Venezuela sales.  The
new payment term "could have the unintended consequence" of
decreasing Petroleos de Venezuela's income.

The source commented to Reuters, "The decision hurts the price.
Those clients that accept the new conditions can demand a better
price because there is an implied financial cost for them in the
transaction."

Sources told Reuters that Petroleos de Venezuela has borrowed
heavily and has made in-kind payments to creditors in crude to
avoid spending cash.

Oil industry players were angered by the new payment term, which
followed last year's nationalization drive, Reuters states.

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

                        *     *     *

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


PETROLEOS DE VENEZUELA: Gas Unit to Add 110-Mln Cubic Ft. Output
----------------------------------------------------------------
PDVSA Gas, a subsidiary of Petroleos de Venezuela, implemented
the highly inclined drilling technology in the RG 278 well
located in Santa Rosa oilfield, eastern Anzoategui state.  The
use of this technique in 14 wells included in Anaco's major area
will raise the domestic gas output by 110 million cubic feet.

PDVSA has devised a pilot project to drill shallow deposits and
get the technical and economic feasibility to develop
significant, easily accessible gas reserves of 800-900 feet deep
that had been not developed earlier.

The surveys of RG 278 well found an output capacity of more than
11 million cubic feet/day -an additional input to the Anaco
area, presently at 1.6 billion cubic feet/day.

This new strategy on highly inclined drilling will help operate
two shallow deposits concomitantly, resulting in high
productivity levels and profitable operations.

Testing and the first stage of production of well RG 278 proved
to be successful and went far beyond the expectations of the
PDVSA Gas staff without the need for increasing expenses.

The introduction of new techniques to develop deposits
containing large gas reserves will bolster energy development in
east Venezuela, according to the plans and strategies of the
Bolivarian government to ensure domestic supply and fulfill the
commitments aimed at Latin American and Caribbean integration.

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

                       *     *     *

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




                            ***********


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

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

Copyright 2007.  All rights reserved.  ISSN 1529-2746.

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