TCRLA_Public/080304.mbx         T R O U B L E D   C O M P A N Y   R E P O R T E R

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

            Tuesday, March 4, 2008, Vol. 9, No. 45

                            Headlines


A R G E N T I N A

ALITALIA SPA: Lazio Court Says Exclusive Sale Talks Legitimate
ASPIL SA: Files for Reorganization in Court
BANCO HIPOTECARIO: Offers US$865 and EUR855 for Notes Due 2013
BUNGE LTD: Declares US$0.17 Per Share Common Stock Dividend
COHN HNOS: Trustee to Verify Proofs of Claim Until April 8

MANNY S MUSICAL: Trustee to File Individual Reports on May 26
PORTEZUELO SRL: Proofs of Claim Verification Ends on April 17
PUENTE HNOS: Moody's Cuts Insurance Financial Strength to B3
QUIMICA PICHEL: Proofs of Claim Verification Ends on April 23
SOLROCA SA: Proofs of Claim Verification Deadline is April 9

STEINER GODARD: Proofs of Claim Verification is Until May 13
UNION RECIBIDORES: Court Concludes Reorganization
VALEANT PHARMA: Incurs US$20.2 Million Net Loss in Fourth Qtr.


B E R M U D A

SCOTTISH RE: May Sell Life Reinsurance & Wealth Management Units
WARNER CHILCOTT: Earns US$28.9 Million in Year Ended Dec. 31


B R A Z I L

AMERICAN AXLE: Union Members Rally to Preserve Well-Paying Jobs
AMERICAN MEDICAL: Moody's Affirms B1 Corporate Family Rating
DRESSER-RAND: UBS Keeps Neutral Rating on Firm's Shares
FIAT SPA: Government Approves Equal Partnership With Tata Motors
GENERAL MOTORS: To Shut More Plants as UAW Talks Resume

KRATON POLYMERS: Increases U.S. Produce Price Effective April 1
NOVELL INC: Earns US$16.8 Million in Fiscal First Quarter 2008
PROPEX INC: Section 341 Meeting of Creditors Set for March 11
PROPEX INC: Wants Court Nod on Dalton Property Sale Procedures


C A Y M A N  I S L A N D S

ACM BERNSTEIN: Will Hold Final Shareholders Meeting on March 10
ACM HIGH: Final Shareholders Meeting Is on March 10
ACM STRATEGIC: Will Hold Final Shareholders Meeting on March 10
BERNSTEIN OFFSHORE: Sets Final Shareholders Meeting for March 10
MARKET NEUTRAL: Final Shareholders Meeting is on March 10


C H I L E

INTERPUBLIC GROUP: S&P Upgrades Corporate Credit Rating to B+
ROCK-TENN CO: Hikes Recycled Paperboard Price to US$50 Per Ton
SCIENTIFIC GAMES: To Provide Sisal With 25,000 WAVE Terminals


C O L O M B I A

SOLUTIA INC: Can Assume Wal-Mart Contracts Under Terms of Plan
SOLUTIA INC: Court Approves Bayer & Lanxess Claims Settlement
SOLUTIA INC: Court Approves Quinn Emanuel as Conflicts Counsel


C O S T A  R I C A

ALCATEL-LUCENT: State Firm Mulling Co.'s Settlement Proposal


D O M I N I C A N   R E P U B L I C

NATIONAL DISTRICT MUNICIPALITY: May File for Bankruptcy
TRICOM SA: Files for Bankruptcy Protection in New York
TRICOM SA: Case Summary & 14 Largest Unsecured Creditors


E C U A D O R

DEL MONTE: Reports US$53.3 Mil. Net Income in Third Quarter 2008
PETROECUADOR: Says Oil Spill from Broken Pipeline Now Contained


E L  S A L V A D O R

BANCO INDUSTRIAL: Works With Investors to Set Up Salvadorian Arm
HERBALIFE LTD: Canaccord Adams Reaffirms Buy Rating on Firm


G U A T E M A L A

GOODYEAR TIRE: To Supply Tires to Pacific Gas Within Three Years


H O N D U R A S

UNO RESTAURANT: Moody's Drops Corporate Family Rating to Caa2


J A M A I C A

NATIONAL COMMERCIAL: Olint's Injunction Against Bank Extended


M E X I C O

ARROW ELECTRONICS: To Buy Achieva's Components Distribution Biz
CARDTRONICS INC: Posts US$63.3 Million Net Loss in FY 2007
CROWN HOLDINGS: Revises Income Tax Valuation Allowance
EMPRESAS ICA: Incurs MXN1,170 Mln Net Loss in Qtr. Ended Dec. 31
ENERSYS INC: Holders Agree to Sell 5MM Shares to Goldman Sachs


P E R U

CORDIA CORP: Says LatAm Will be 10% of Revenues by Year-End


P U E R T O  R I C O

ELECTRONIC DATA: M. Blackburn Replaces M. Koehler as EMEA Head
NUTRITIONAL SOURCING: Court Approves Sale Bidding Procedure
NUTRITIONAL SOURCING: Exclusive Plan Filing Period Extended
PEP BOYS: Paying US$0.0675 Per Share Dividend Due on April 28
SEARS HOLDINGS: Restoration Deems Merger Proposal Inferior


U R U G U A Y

PERNOD RICARD: Net Sales Up 5.9% in 2007/2008 First Half


V E N E Z U E L A

DELTA AIR: Pilots Union Poses Threat to Northwest Tie-Up
PETROLEOS DE VENEZUELA: Inks New Agreement with Eni
PETROLEOS DE VENEZUELA: Has No Assets in UK, Says Gordon Pollock


X X X X X X

* Global Economy Will Withstand U.S. Downturn, S&P's Report Says
* Large Companies with Insolvent Balance Sheet


                         - - - - -


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

ALITALIA SPA: Lazio Court Says Exclusive Sale Talks Legitimate
--------------------------------------------------------------
The Italian Regional Administration Court of Lazio has confirmed
the legitimacy of the exclusive talks to sell the Italian
government's 49.9% stake in Alitalia S.p.A. to Air France-KLM
S.A., various reports say.

The ruling rejected an appeal filed by AirOne S.p.A. to the
Feb. 20, 2008 decision by the Italian Regional Administration
Court of Lazio that rejected its petition to declare null and
void a Dec. 28, 2007 decision of Italy's Ministry of Economy and
Finance to commence exclusive talks with Air France.

As reported in the TCR-Europe on Jan. 17, 2008, Alitalia and
Italy commenced exclusive sale talks with Air France-KLM.  The
carriers have until mid-March to reach an agreement, which
would be approved by the government.  Air France said it will
seek approval from the new Italian government chosen following
the April 13-14, 2008, snap elections, for any agreement to
acquire Italy's stake in Alitalia.

Air France managing director Pierre Henri Gourgeon that the
exclusive talks may go beyond the April elections due to various
procedural steps, Radiocor relates.

AirOne said it would present a binding offer once it wins its
appeal, adding that its offer would be financially backed by
Intesa Sanpaolo S.p.A., Goldman Sachs Group Inc., Morgan Stanley
and Nomura Holdings Plc.

TPG Inc. and Pirelli & S.p.A. chairman Marco Tronchetti Provera
may join AirOne in its Alitalia bid.  Reuters said MyChef may
also participate in the offer.  AirOne chairman Carlo Toto is
inviting businessmen from the Lombardy region to join the
airline's bid.

                          About Alitalia

Headquartered in Rome, Italy, Alitalia S.p.A. --
http://www.alitalia.it/ -- provides air travel services for
passengers and air transport of cargo on national, international
and inter-continental routes.  The Italian government owns 49.9%
of Alitalia.  The company has operations in Argentina.

Despite a EUR1.4 billion state-backed restructuring in 1997,
Alitalia posted net losses of EUR256 million and EUR907 million
in 2000 and 2001 respectively.  Alitalia posted EUR93 million in
net profits in 2002 after a EUR1.4 billion capital injection.
The carrier booked annual net losses of EUR520 million in 2003,
EUR813 million in 2004, EUR168 million in 2005, and
EUR625.6 million in 2006.

Italian Transport Minister Alessandro Bianchi has warned that
Alitalia may file for bankruptcy if the current attempt to sell
the government's 49.9% stake fails.


ASPIL SA: Files for Reorganization in Court
-------------------------------------------
Aspil S.A. has requested for reorganization approval after
failing to pay its liabilities since Jan. 31, 2008.

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

The case is pending in the National Commercial Court of First
Instance No. 22 in Buenos Aires.  Clerk No. 43 assists the court
in this case.

The debtor can be reached at:

          Aspil S.A.
          Paraguay 3690
          Buenos Aires, Argentina


BANCO HIPOTECARIO: Offers US$865 and EUR855 for Notes Due 2013
--------------------------------------------------------------
Banco Hipotecario S.A. offered US$865 per US$1,000 to holders of
its U.S. Dollar-Denominated notes due 2013 and EUR855 per
EUR1,000 to holders of its Euro-Denominated notes due 2013,
Business News Americas reports.

As reported by the Troubled Company Reporter-Latin America on
Jan. 31, 2008, Banco Hipotecario commenced a tender offer to
purchase for cash up to US$56 million aggregate principal amount
of its U.S. Dollar-Denominated Notes due 2013 and up to the
equivalent of US$56 million aggregate principal amount of its
Euro-Denominated Notes due 2013.   The tender offer expired on
Feb. 27.

In an update, TCR-LA reported on March 3 that Banco Hipotecario
received aggregate tenders for a total of of US$61,053,602,
consisting of:

   (i) US$16,535,993 aggregate principal amount of the
        outstanding USD Long Term Notes; and

  (ii) the equivalent of US$44,517,609 aggregate principal
       amount of the outstanding EUR Long Term Notes (based on
       the USD/EUR exchange rate published by the European
       Central Bank at the close of business on Feb. 12, 2008).

In connection with the tender offer, Deutsche Bank Securities
Inc. acted as the dealer manager, Deutsche Bank Luxembourg S.A.
acted as the Luxembourg Depository, while Global Bondholder
Services Corporation acted as the Information Agent and
Depositary.

Banco Hipotecario told BNamericas that “the transaction
indicated its solvency and financial flexibility to complete
liability management initiatives successfully during a period of
volatile market conditions.”

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

                        *     *     *

In November 2007, Moody's Investors Service assigned a Ba1
global local currency deposit rating to Banco Hipotecario SA.


BUNGE LTD: Declares US$0.17 Per Share Common Stock Dividend
-----------------------------------------------------------
Bunge Limited has declared a regular quarterly cash dividend of
US$0.17 per share of common stock.  The dividend is payable on
June 2, 2008, to shareholders of record as of May 19, 2008.

The company declared a quarterly cash dividend of US$1.21875 per
share on its 4.875% cumulative convertible perpetual preference
shares, payable on June 1, 2008, to shareholders of record as of
May 15, 2008.

The company also declared a quarterly cash dividend of
US$12.8125 per share on its 5.125% cumulative mandatory
convertible preference shares payable on June 1, 2008, to
shareholders of record as of May 15, 2008.

Headquartered in White Plains, New York, Bunge Ltd. (NYSE: BG)
is a global agribusiness company with operations primarily in
commodity grain processing and fertilizer production.  It has
operations in Argentina.

                        *      *      *

As reported in the Troubled Company Reporter-Latin America on
Nov. 8, 2007, Standard & Poor's Ratings Services has assigned
its 'BB' rating to Bunge Ltd.'s US$750 million of 5.125%
cumulative mandatory convertible preference shares.  At the same
time, S&P affirmed its 'BBB-' long-term corporate credit and
other ratings on Bunge.  The outlook is stable.  Pro forma for
the new issue, about US$4.2 billion of debt and preference
shares of the company are rated.  Proceeds from this issue will
be used to repay debt and for general corporate purposes.


COHN HNOS: Trustee to Verify Proofs of Claim Until April 8
----------------------------------------------------------
Benjamin Ernesto Rubio, the court-appointed trustee for Cohn
Hnos. S.A.'s reorganization proceeding, will be verifying
creditors' proofs of claim until April 8, 2008.

Mr. Rubio will present the validated claims in court as
individual reports.  The National Commercial Court of First
Instance in Mar del Plata, Buenos Aires, will determine if the
verified claims are admissible, taking into account the
trustee's opinion, and the objections and challenges that will
be raised by Cohn Hnos. 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  Cohn Hnos.'
accounting and banking records will be submitted in court.

Infobae didn't state the submission dates for the reports.

The debtor can be reached at:

        Cohn Hnos. S.A.
        Alvarado 5326, Mar del Plata
        Buenos Aires, Argentina

The trustee can be reached at:

        Benjamin Ernesto Rubio
        25 de Mayo 1980, Mar del Plata
        Buenos Aires, Argentina


MANNY S MUSICAL: Trustee to File Individual Reports on May 26
-------------------------------------------------------------
Aldo Ruben Maggiolo, the court-appointed trustee for Manny s
Musical SA's bankruptcy proceeding, will present the validated
claims as individual reports in the National Commercial Court of
First Instance in Buenos Aires on May 26, 2008.

Mr. Maggiolo will be verifying creditors' proofs of claim until
April 11, 2008.

A general report that contains an audit of Manny s Musical's
accounting and banking records will be submitted in court on
July 10, 2008.

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

The debtor can be reached at:

         Manny s Musical SA
         Santo Domingo 3076/78
         Buenos Aires, Argentina

The trustee can be reached at:

         Aldo Maggiolo
         Paraguay 610
         Buenos Aires, Argentina


PORTEZUELO SRL: Proofs of Claim Verification Ends on April 17
-------------------------------------------------------------
Juan Manuel Vila Perbeils, the court-appointed trustee for
Portezuelo S.R.L.'s bankruptcy proceeding, will be verifying
creditors' proofs of claim until April 17, 2008.

Mr. Perbeils will present the validated claims in court as
individual reports on May 30, 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 Portezuelo 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 Portezuelo's
accounting and banking records will be submitted in court on
July 28, 2008.

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

The trustee can be reached at:

         Juan Manuel Vila Perbeils
         Vidal 1670
         Buenos Aires, Argentina


PUENTE HNOS: Moody's Cuts Insurance Financial Strength to B3
------------------------------------------------------------
Moody's Investors Service has downgraded Puente Hnos. SGR's
global local-currency insurance financial strength rating to B3
from B2, and to Baa1.ar from A1.ar on Argentina's national
scale.  Both ratings carry a developing outlook.  This concludes
the review for possible downgrade initiated on Nov. 9, 2007,
following a resolution issued by the Argentine Undersecretary of
Small and Medium Size Businesses (SePyme) that revoked Puente
SGR's authorization to operate in the financial guaranty market
and imposed the liquidation of the company.

According to Moody's, the downgrade is based on the negative
impact the regulatory action has had on Puente SGR's business
and financial profile, as well as the uncertainty surrounding
the unresolved status of the regulatory resolution.  Although
Puente SGR filed a "petition to revoke" the liquidation, and
-under local administrative proceedings—has been maintaining its
operations, the company's new issuance of guarantees has been
very limited since the regulatory resolution.  In addition, the
rating agency said that the company's amount of inforce
guarantees outstanding was reduced as a result of the
regulator's action.

On the financial profile, Moody's added that Puente SGR's
investment quality worsened in the last quarter of 2007 as
seen by all invested assets now being below-investment grade and
that the company could not renew the reinsurance program with a
state-sponsored reinsurance entity.  Finally, Puente SGR's
client concentration in its top 10 largest single risks has
increased somewhat at the end of 2007 relative to 2006.

The rating agency went on to say that there continues to be much
uncertainty about the final outcome of the regulatory
resolution, which may now be transferred to the relevant
Judicial Authority.  Moody's added that the liquidation process
for Puente SGR could potentially have additional adverse effects
on the company's financial and business profiles.  The level of
uncertainty is quite high because there has never been a
liquidation process for a financial guarantor in the country as
of yet, and therefore it is difficult to anticipate the next
actions for the company and their potential impact.   As a
result of this uncertainty, the outlook is "developing" which
reflects that the future credit profile of Puente SGR is highly
dependent on the final decision of the regulator and/or the
Judicial Authority

Based in Buenos Aires, Puente Hnos. SGR is a small financial
guarantor which reported total assets of ARS33.8 million as of
the third quarter of 2007, ended Sept. 30.  Outstanding
guarantees were about ARS48 million and the company posted a net
profit of ARS0.9 million for the quarter ended Sept. 30, 2007.


QUIMICA PICHEL: Proofs of Claim Verification Ends on April 23
-------------------------------------------------------------
Cecilia Montelvetti, the court-appointed trustee for Quimica
Pichel SA's bankruptcy proceeding, will be verifying creditors'
proofs of claim until April 23, 2008.

Ms. Montelvetti will present the validated claims in court as
individual reports.  The National Commercial Court of First
Instance No. 15 in Buenos Aires, with the assistance of Clerk
No. 30, 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 Quimica Pichel 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 Quimica Pichel's
accounting and banking records will be submitted in court.

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

The debtor can be reached at:

          Quimica Pichel SA
          Melian 3857
          Buenos Aires, Argentina

The trustee can be reached at:

          Cecilia Montelvetti
          Urquiza 2134
          Buenos Aires, Argentina


SOLROCA SA: Proofs of Claim Verification Deadline is April 9
------------------------------------------------------------
Marcelo Gabriel Dborkin, the court-appointed trustee for Solroca
S.A.'s bankruptcy proceeding, will be verifying creditors'
proofs of claim until April 9, 2008.

Mr. Dborkin will present the validated claims in court as
individual reports on May 22, 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 Solroca 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 Solroca's accounting
and banking records will be submitted in court on July 4, 2008.

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

The trustee can be reached at:

         Marcelo Gabriel Dborkin
         Avenida Callao 295
         Buenos Aires, Argentina


STEINER GODARD: Proofs of Claim Verification is Until May 13
------------------------------------------------------------
Raul Alberto Sena, the court-appointed trustee for Steiner
Godard S.A.'s bankruptcy proceeding, will be verifying
creditors' proofs of claim until May 13, 2008.

Mr. Sena will present the validated claims in court as
individual reports.  The National Commercial Court of First
Instance in Buenos Aires will determine if the verified claims
are admissible, taking into account the trustee's opinion, and
the objections and challenges that will be raised by Steiner
Godard 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 Steiner Godard's
accounting and banking records will be submitted in court.

Infobae didn't state the submission dates for the reports.

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

The trustee can be reached at:

          Raul Alberto Sena
          Bartolome Mitre 734
          Buenos Aires, Argentina


UNION RECIBIDORES: Court Concludes Reorganization
-------------------------------------------------
Union Recibidores de Granos y Anexos de la Republica Argentina
concluded its reorganization process, according to data released
by Infobae on its Web site.  The closure came after the National
Commercial Court of First Instance in Buenos Aires homologated
the debt plan signed between the company and its creditors.


VALEANT PHARMA: Incurs US$20.2 Million Net Loss in Fourth Qtr.
--------------------------------------------------------------
Valeant Pharmaceuticals International has posted US$20.2 million
of net loss for the three months ended Dec. 31, 2007, compared
to US$21.7 million of net loss for the same period in 2006.  For
the full year of 2007, the company incurred US$7.2 million of
net loss compared to US$56.5 million of net loss in 2006.

“Valeant’s financial performance in the fourth quarter and the
full year is not acceptable either to me or to our investors,”
said J. Michael Pearson, chief executive officer and chairman.  
“These results are the direct impact from trying to operate in
too many geographies, with too many businesses and too many
products.  We are completing a comprehensive strategic review of
the Company and expect to be in a position to talk more about
our plan during the last week of March.”

                            Revenues

Product sales decreased four percent in the fourth quarter of
2007 compared to the same period last year.  Since the 2006
fourth quarter, the company has divested Reptilase product
rights, Solcoseryl product rights in Japan and the ophthalmic
business in the Netherlands.

North America product sales increased one percent in the 2007
fourth quarter, primarily due to increased sales of Cesamet(R),
Zelapar(R) and Kinerase(R), offset by declines in sales of
Efudex(R), which largely reflects the impact of stocking for the
product’s authorized generic launch in the fourth quarter of
2006.

Sales in the International region declined twenty-three percent
in the 2007 fourth quarter compared to the same period last
year, due to continuing challenges in Mexico.  This included
increased accounting reserves for future product returns and
credit memos, which impacted sales as contra revenue.

Sales in the Europe, Middle East and Africa region increased
nine percent in the 2007 fourth quarter compared to the same
period last year, primarily due to the effects of foreign
currency translation.  The EMEA region also benefited from
increased sales of promoted products in Central and Eastern
Europe and new products acquired or launched in 2007.

Alliance revenue decreased eighteen percent in the 2007 fourth
quarter compared to the same period last year.  The decline
reflects competitive dynamics in the ribavirin market in Europe
and Japan and the cessation of ribavirin royalties from Roche as
a result of a loss of patent coverage in Europe.

                      Continuing Operations

The company’s gross margin on product sales was 70 percent in
the 2007 fourth quarter as compared to 72 percent reported in
the 2006 fourth quarter.

Selling expense was 31 percent of product sales in the 2007
fourth quarter as compared to 27 percent recorded in the
comparable period last year.  This increase was due to bad debt
provisions in the EMEA and International regions and increased
promotional activities relating to the newly launched products
in Central Europe.  General and administrative expenses were 13
percent of product sales in the 2007 fourth quarter, the same
percentage as in 2006.

Research and development costs remained essentially flat as a
percentage of sales and were US$29.4 million in the 2007 fourth
quarter, compared to US$31.4 million in the same period in 2006.

                     Discontinued Operations

Valeant announced an agreement to sell Infergen(R) on Dec. 20,
2007.  The financial results for Infergen are reflected as
discontinued operations and prior periods were restated
accordingly. Valeant closed the sale in January 2008.

                          Divestitures

Valeant has signed a definitive agreement to sell certain
subsidiaries and product rights in certain Asian markets
including Singapore, the Philippines, Taiwan, Korea, and China.
The transaction is expected to close in March 2008.

                     Share Repurchase Update

Under the company’s repurchase program, Valeant repurchased 1.8
million shares of its common stock in the 2007 fourth quarter
for approximately US$20 million.  The fourth quarter activity
brings the total shares repurchased in 2007 to 6.5 million
shares for approximately US$100 million.

                 About Valeant Pharmaceuticals

Headquartered in Costa Mesa, California, Valeant Pharmaceuticals
International -- http://www.valeant.com/-- is a global
specialty pharmaceutical company with USUS$823 million of 2005
revenues.  It has offices in Argentina, Singapore and Taiwan.

                        *     *     *

In January 2007, Moody's Investors Service confirmed the ratings
of Valeant, including the B2 Corporate Family Rating, and
concluded the rating review for possible downgrade, which was
first initiated on Oct. 23, 2006.  Valeant's rating outlook is
stable, Moody's said.



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

SCOTTISH RE: May Sell Life Reinsurance & Wealth Management Units
----------------------------------------------------------------
Scottish Re Group Ltd. told The Royal Gazette that it may sell
its international life reinsurance and wealth management units.

According to The Gazette, Scottish Re wants to cut costs after
suffering mortgage-related losses and a credit rating downgrade.

Scottish Re told The Gazette that it is losing money from
investments tied to subprime and "Alt-A" residential mortgages.

A Jan. 31 downgrade by Standard & Poor's will also make it
harder for the company to compete and to expand its core life
reinsurance business, The Gazette says, citing Scottish Re.

Scottish Re told The Gazette that it will continue concentrating
on its North American life reinsurance business, "through
strategic alliances or other means and cut costs to preserve
capital and liquidity.”

Scottish Re said it set up a financial incentive program to keep
"essential" employees, The Gazette adds.

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
Feb. 4, 2008, Standard & Poor's Ratings Services lowered its
counterparty credit rating on Scottish Re Group Ltd. to 'B' from
'B+'.   At the same time, it lowered its counterparty credit and
financial
strength ratings on Scottish Re's operating companies to 'BB'
from 'BB+' and also lowered the ratings on all these companies'
dependent unwrapped securitized deals by one notch.  In
addition, S&P placed the ratings on all these companies on
CreditWatch with negative implications.

As reported in the Troubled Company Reporter-Latin America on
Feb. 19, 2008, Moody's Investors Service placed Scottish Re
Group Limited's Senior unsecured  shelf of (P)Ba3; subordinate
shelf of (P)B1; junior subordinate shelf of (P)B1; preferred
stock of B2; and preferred stock shelf of (P)B2 ratings on
review for downgrade.


WARNER CHILCOTT: Earns US$28.9 Million in Year Ended Dec. 31
------------------------------------------------------------
Warner Chilcott Limited reported its results for the quarter and
year ended Dec. 31, 2007.  Revenue in the quarter ended
Dec. 31, 2007, totaled US$227.7 million, an increase of 10.3%,
over the prior year quarter.  Revenue for the year ended
Dec. 31, 2007, totaled US$899.6 million, an increase of 19.2%
over the prior year. The primary drivers of the increase in
revenue for both periods were the net sales of two products,
LOESTRIN 24 FE and TACLONEX, which together contributed US$27.6
million and US$171.8 million of revenue growth in the quarter
and year ended Dec. 31, 2007, respectively, compared to the
prior year periods.

The company reported net income of US$19.7 million in the
quarter ended Dec. 31, 2007, compared with a net loss of
US$8.5 million in the prior year quarter.  Cash net income in
the quarter ended Dec. 31, 2007 was US$73.9 million.  Reported
net income was US$28.9 million in the year ended Dec. 31, 2007.

                            Revenue

Revenue in the quarter ended Dec. 31, 2007, was US$227.7
million, an increase of US$21.3 million, or 10.3%, over the
prior year quarter.  The primary drivers of the increase in
revenue, as compared to the prior year quarter, were the net
sales of two products, LOESTRIN 24 FE and TACLONEX.

Sales of Warner Chilcott's oral contraceptive products increased
US$8.4 million, or 13.9%, in the quarter ended
Dec. 31, 2007, compared with the prior year quarter.  LOESTRIN
24 FE generated revenues of US$41.6 million in the quarter ended
Dec. 31, 2007, compared to US$21.5 million in the prior year
quarter.  The increase in revenues was primarily due to an
increase of 93.8% in filled prescriptions for LOESTRIN 24 FE
compared to the prior year quarter.  Filled prescriptions of
LOESTRIN 24 FE increased 6.5% sequentially in the quarter ended
Dec. 31, 2007, compared to the quarter ended Sept. 30, 2007.  
The company introduced and began commercial sales of FEMCON FE
in the second half of 2006, but did not initiate promotional
efforts in support of the product until April 2007.  Beginning
in April 2007, FEMCON FE became a promotional priority for its
sales force and generated revenues of US$11.6 million in the
quarter ended Dec. 31, 2007, an increase of US$4.1 million, or
53.3%, versus the prior year quarter.  The increase in revenues
was primarily due to a 200% increase in filled prescriptions for
FEMCON FE compared to the prior year quarter.  Filled
prescriptions of FEMCON FE increased 15% sequentially in the
quarter ended Dec. 31, 2007 compared to the quarter ended
Sept. 30, 2007.  Net sales of ESTROSTEP FE decreased US$13.9
million, or 58%, in the quarter ended Dec. 31, 2007, compared to
the prior year quarter.  The decrease in revenues was due to the
introduction of generic versions of ESTROSTEP FE beginning in
late October 2007, which lowered filled prescriptions of
ESTROSTEP FE by 60.6% versus the prior year quarter.  At the
time of the launch of a generic version of ESTROSTEP FE, Warner
Chilcott partnered with Watson Pharma, Inc. to launch Tilia(TM)
Fe, an authorized generic version of ESTROSTEP FE.  OVCON net
sales declined US$1.9 million, or 37.2%, in the quarter ended
Dec. 31, 2007, compared with the prior year quarter.  The
decline in OVCON revenues was primarily due to the introduction
of generic versions of OVCON 35 beginning in late October 2006,
which led to an 83.3% decline in filled prescriptions in the
quarter ended Dec. 31, 2007, compared to the prior year quarter.  
This decline was partially offset by price increases.

Sales of Warner Chilcott's dermatology products increased
US$12.6 million, or 14.3%, in the quarter ended
Dec. 31, 2007, compared to the prior year quarter, primarily due
to a US$7.5 million increase in TACLONEX sales.  Filled
prescriptions for TACLONEX increased 33.8% compared to the prior
year quarter.  Sales of DORYX increased US$4.5 million, or
16.4%, in the quarter ended Dec. 31, 2007, compared with the
prior year quarter due to increased demand and higher average
selling prices. DORYX prescriptions had been declining through
the first half of 2007.  In January 2007, the company took steps
to increase its Dermatology sales force's emphasis on DORYX and
those changes resulted in filled prescriptions of DORYX
increasing 4.8% in the quarter ended Dec. 31, 2007, compared to
the prior year quarter.  Sales of DOVONEX increased US$0.6
million, or 1.6%, in the quarter ended Dec. 31, 2007, compared
with the prior year quarter as price increases more than offset
a 23% decline in filled prescriptions.

Sales of the company's hormone therapy products increased
US$2.5 million, or 6.4%, in the quarter ended Dec. 31, 2007,
compared with the prior year quarter.  FEMHRT filled
prescriptions were down 12.9% in the quarter ended
Dec. 31, 2007, compared with the prior year quarter.  The impact
of this decrease was partially offset by higher selling prices.
Sales of ESTRACE CREAM increased due to higher average selling
prices, although filled prescriptions were flat in the quarter
ended Dec. 31, 2007, compared with the prior year quarter.

                         Cost of Sales

Cost of sales increased US$0.1 million, or 0.1%, in the quarter
ended Dec. 31, 2007, compared with the prior year quarter.  The
gross profit margin, as a percentage of total revenue, increased
to 80.8% in the current year quarter from 78.9% in the prior
year quarter.  The gross profit margins, as a percentage of
total revenue, fluctuate due to a number of factors, primarily
the mix of products sold.

      Selling, General and Administrative (SG&A) Expenses

SG&A expenses for the quarter ended Dec. 31, 2007, were
US$57 million, an increase of US$2.1 million, or 3.7%, from
US$54.9 million in the prior year quarter.  Advertising and
promotion expenses for the quarter ended Dec. 31, 2007,
decreased US$1.5 million, or 8.8%, compared with the prior year
quarter.  The decrease was primarily due to product launch
expenses incurred in the quarter ended Dec. 31, 2006 related to
LOESTRIN 24 FE and TACLONEX, offset partially by an increase in
direct-to-consumer spending for LOESTRIN 24 FE in the quarter
ended Dec. 31, 2007.  Selling and distribution expenses for the
quarter ended Dec. 31, 2007, increased US$2.7 million, or 13.2%,
over the prior year quarter primarily due to the expansion of
the company's field sales forces in the first half of 2007 to
support the initiation of promotional activities for FEMCON FE.
General, administrative and other (G&A) expenses in the quarter
ended Dec. 31, 2007, increased US$0.9 million, or 5%, over the
prior year quarter.  The increase in G&A expenses was primarily
due to increases in compensation expense related to annual
salary increases.

                 Research and Development (R&D)

Warner Chilcott's investment in R&D for the quarter ended
Dec. 31, 2007 was US$11.7 million, an increase of US$4.3
million, or 59.5%, compared with the prior year quarter.  In
November 2007, the company entered into an agreement with
NexMed, Inc.  Under the terms of the agreement, Warner Chilcott
obtained the exclusive U.S. rights to NexMed's topically applied
alprostadil cream for the treatment of erectile dysfunction.  
The company paid a license fee of US$0.5 million which was
recognized in R&D expense in the fourth quarter of 2007.  The
increase in its R&D activities, excluding the US$0.5 million
payment to NexMed, was US$3.8 million, or 52.7%, which was
mainly due to costs incurred in connection with clinical studies
for two new oral contraceptives.  The company completed the
enrollment of the first clinical study for a low-dose oral
contraceptive in July 2007 and completed enrollment of another
clinical study for an oral contraceptive in Dec ember 2007.

                       Net Interest Expense

Interest expense, less interest income (Net Interest Expense)
for the quarter ended Dec. 31, 2007 was US$27.3 million, a
decrease of US$32.9 million, or 54.7%, from US$60.2 million in
the prior year quarter.  The quarter ended Dec. 31, 2007,
included a US$1.6 million write-off of deferred loan costs
associated with an optional prepayment of US$90 million under
the company's senior secured credit facility. In the quarter
ended Dec. 31, 2006, the company paid a premium in the amount of
US$18.4 million in connection with the optional redemption of
US$210 million of its 8.75% Senior Subordinated Notes.  As a
result of the optional redemption, the quarter ended
Dec. 31, 2006, included an US$8 million write-off of deferred
loan costs associated with the Notes.  The quarter ended
Dec. 31, 2006, also included a US$1.1 million write- off of
deferred loan costs associated with an optional prepayment of
US$50 million under the senior secured credit facility.  
Excluding the premium payment and the write-offs of deferred
loan costs, Net Interest Expense decreased US$7 million, or
21.7%, in the current quarter.  The decrease was primarily the
result of reductions in outstanding debt which reduced the
weighted average debt outstanding in the quarter ended
Dec. 31, 2007, as compared to the prior year quarter.  Over the
course of 2007, Warner Chilcott made optional and mandatory
principal repayments of term debt totaling US$350.5 million
using free cash flow and cash on hand.

                          Income taxes

Tha company's effective tax rates for the quarter and year ended
Dec. 31, 2007 was 38.3% and 38.9%, respectively.  On
Feb. 25, 2008, the company's US operating entities entered into
an Advanced Pricing Agreement (APA) with the Internal Revenue
Service covering the calendar years 2006 through 2010.  The APA
is an agreement with the IRS that specifies the agreed upon
terms under which the company's U.S. entities are compensated
for services provided on behalf of its non-U.S. entities.  The
APA provides the company with greater certainty with respect to
the mix of its pre-tax income in the various tax jurisdictions
in which it operates.

                 Net Income and Cash Net Income

For the quarter ended Dec. 31, 2007, reported net income was
US$19.7 million and cash net income was US$73.9 million, based
on 250.5 million diluted Class A common shares outstanding.  In
arriving at cash net income, the company add back the after-tax
impact of the amortization of intangible assets and the
amortization and write-off of deferred financing costs.  These
items are tax-effected at the estimated marginal rates
attributable to them.  In the quarter ended Dec. 31, 2007, the
marginal tax rate associated with the amortization of intangible
assets was 8.8% and the marginal tax rate for amortization and
write-off of deferred financing costs was 8.9%.

            Liquidity, Balance Sheet and Cash Flows

As of Dec. 31, 2007, Warner Chilcott's cash and cash equivalents
totaled US$30.8 million and total debt outstanding was
US$1,200.2 million, a decrease of US$350.5 million in total debt
outstanding, compared to US$1,550.7 million as of
Dec. 31, 2006.  There were no borrowings outstanding under the
revolving portion of the company's senior secured credit
facility.  Warner Chilcott generated US$105.8 million of cash
from operating activities in the quarter ended Dec. 31, 2007,
compared with US$70.9 million in the prior year quarter, an
increase of US$34.9 million, or 49.2%. Net income for the
quarter ended Dec. 31, 2007 increased by US$28.2 million from an
US$8.5 million net loss in the prior year quarter.

                     About Warner Chilcott

Headquartered in Hamilton, Bermuda, Warner Chilcott Ltd. --
http://www.warnerchilcott.com/-- is the holding company for a  
host of pharmaceutical makers.  Women's health care products,
including hormone therapies (femhrt and Estrace Cream) and
contraceptives (Estrostep, Loestrin, and OvCon), are the
company's largest segment.  Other products include dermatology
treatments for acne (Doryx) and psoriasis (Dovonex and
Taclonex).  US subsidiary Warner Chilcott Inc. makes
prescription drugs for dermatology and women's health; other
subsidiaries provide services in data management systems,
pharmaceutical development, manufacturing, and chemical
development.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
Jan. 8, 2008, Standard & Poor's Ratings Services revised its
outlook on specialty drug manufacturer Warner Chilcott Corp.,
Warner Chilcott Limited's subsidiary, to positive from stable.
The ratings, including B+ corporate credit rating, were
affirmed.  "The outlook revision on the company reflects its
solid operational track record and improving financial profile
over the past two years," said S&P's credit analyst Arthur Wong.



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

AMERICAN AXLE: Union Members Rally to Preserve Well-Paying Jobs
---------------------------------------------------------------
United Auto Workers union members on strike at American Axle &
Manufacturing Inc. are fighting to preserve well-paying U.S.
manufacturing jobs at the company.

"Our union is a responsible organization, and we've worked
through complex problems at Chrysler LLC, Ford Motor Co.,
General Motors Corp., Delphi Corp., Dana Corp. and other
companies," UAW President Ron Gettelfinger said.  "But
negotiations can't be a one-way street."

"We have repeatedly proven that we will work with this company,
during these negotiations and during previous negotiations," UAW
Vice President Jimmy Settles, who directs the union's American
Axle Department, said.

"The plain fact is, the company has not appropriately responded
to our significant and serious proposals, and that's what caused
this labor dispute," Erv Heidbrink, president of UAW Local 2093
said, representing some 800 UAW members at American Axle's
manufacturing facility in Three Rivers, Michigan.

"Nobody likes a strike," Mr. Heidbrink said, "but the company
continues to make unreasonable and unnecessary demands which
attack our wages, pensions and health care -– and they haven't
provided us the information we need to evaluate their proposals.

"Our members are getting terrific support from all over the UAW
and we're standing strong," Mr. Heidbrink said.  "We're ready
for serious bargaining at any time, and we want to get this
dispute resolved as soon as we can."

American Axle was created in 1994 when GM spun off five U.S.
plants making axles and drive line components, employing
approximately 6,500 UAW members.

Since 1994 industry-leading quality and greatly increased
productivity in UAW-represented facilities has created
significant profits for AAM, leading to expansion of the company
to 29 facilities worldwide.  But operations at facilities in
North America covered by the UAW American Axle master agreement
have been reduced, now employing approximately 3,500 workers.

Headquartered in Detroit, Michigan, American Axle &
Manufacturing Holdings Inc. (NYSE:AXL) -- http://www.aam.com/--  
and its wholly owned subsidiary, American Axle & Manufacturing,
Inc., manufactures, engineers, designs and validates driveline
and drivetrain systems and related components and modules,
chassis systems and metal-formed products for light trucks,
sport utility vehicles and passenger cars.  In addition to
locations in the United States (in Michigan, New York and Ohio),
the company also has offices or facilities in Brazil, China,
Germany, India, Japan, Luxembourg, Mexico, Poland, South Korea
and the United Kingdom.

                          *     *     *

As reported in the Troubled Company Reporter on Feb. 28, 2008,
Standard & Poor's Ratings Services said that its ratings on
American Axle and Manufacturing Holdings Inc. (BB/Negative/--)
are not immediately affected by reports that the UAW elected to
conduct a work stoppage at the expiration of its four-year
master labor agreement with American Axle.  

As reported in the Troubled Company Reporter on Nov. 27, 2007,
Moody's Investors Service affirmed American Axle & Manufacturing
Holdings, Inc.'s Corporate Family rating of Ba3 as well its
senior unsecured rating of Ba3 to American Axle & Manufacturing
Inc.'s notes and term loan.  At the same time, the rating agency
revised the rating outlook to stable from negative and renewed
the Speculative Grade Liquidity rating of SGL-1.


AMERICAN MEDICAL: Moody's Affirms B1 Corporate Family Rating
------------------------------------------------------------
Moody's Investors Service affirmed the B1 corporate family and
probability of default rating of American Medical Systems
Holdings, Inc.'s but changed the outlook to negative from
stable.  Concurrently, Moody's downgraded the company's
liquidity rating to SGL 3 from SGL 2.  Notwithstanding improved
performance in the fourth quarter of 2007, the change in outlook
to negative reflects underperformance in recent quarters and
weaker than anticipated credit metrics, as well as senior
management uncertainties following the resignation of the former
Chief Executive Officer in January 2008.  The negative ratings
outlook also reflects minimal tolerance to absorb adverse
fluctuations within the current rating category, the ongoing
potential for execution risk, as well as Moody's expectation of
limited cushions under the company's revised financial
covenants.

The SGL-3 Speculative Grade Liquidity rating reflects Moody's
expectation of adequate near term liquidity.  Moody's
expectation is that internally generated cash flow, along with
cash on hand, should be sufficient to fund the company's ongoing
operational needs, capital expenditures and modest mandatory
debt amortization over the next four quarters.

The ratings are constrained by high ongoing financial leverage
following the 2006 debt-financed acquisition of Laserscope, the
absence of scale relative to larger competitors and the
company's acquisitive growth strategy.  The ratings benefit from
organic double digit growth rates in revenue across most product
lines and relatively low maintenance capital expenditures, which
give rise to substantively positive free cash flow generation in
relation to debt levels.  Also, despite continuing integration
challenges and increased sales and marketing costs with respect
to Laserscope, the potential for incremental savings in raw
materials and manufacturing efficiencies remains.

Moody's affirmed these ratings:

  -- Corporate Family Rating, rated B1;

  -- Probability of Default Rating, rated B1;

  -- US$65 million senior secured revolver due 2012, rated Ba2
     (LGD2, 21%);

  -- US$314 million senior secured term loan B due 2012, rated
     Ba2 (LGD2, 21%);

  -- US$374 million convertible senior subordinated notes due
     2036, rated B3 (LGD5, 77%);

The ratings outlook is negative.

Moody's also downgraded the Speculative Grade Liquidity Rating
to SGL 3 from SGL 2.

         About American Medical Systems Holdings Inc.

Based in Minnetonka, Minnesota, American Medical Systems
Holdings Inc. -- http://www.americanmedicalsystems.com/--
(NASDAQ: AMMD) develops and delivers medical devices and
procedures to cure erectile dysfunction, benign prostatic
hyperplasia, incontinence, menorrhagia, prolapse and other
pelvic disorders in men and women pelvic health products for
both men and women.  AMS has operations in Australia, Austria,
Brazil, Canada, Deutschland, Benelux, France, Iberica, Portugal,
the United Kingdom, and the USA.


DRESSER-RAND: UBS Keeps Neutral Rating on Firm's Shares
-------------------------------------------------------
UBS analysts have kept their "neutral" rating on Dresser-Rand
Group's shares, Newratings.com reports.

Newratings.com relates that the target price for Dresser-Rand's
shares was decreased to US$40 from US$44.

UBS said in a research note that Dresser-Rand's fourth quarter
earnings per share didn't reach estimates and the consensus.  

UBS told Newratings.com that the “shortfall was on account of
delayed Aftermarket orders.”

The earnings per share estimates for 2008 was decreased to
US$2.00 from US$2.05, Newratings.com states.

Dresser-Rand Group Inc. (NYSE: DRC) is among the largest
suppliers of rotating equipment solutions to the worldwide oil,
gas, petrochemical, and process industries.  It operates
manufacturing facilities in the United States, France, Germany,
Norway, India, and Brazil, and maintains a network of 24 service
and support centers covering 105 countries.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
Sept. 7, 2007, Standard & Poor's Ratings Services assigned its
bank loan and recovery ratings to the US$500 million senior
secured revolving credit facility due 2012 of Dresser-Rand Group
Inc. (BB-/Stable/--).   The 'BB+' rating, and '1' recovery
rating, indicate expectation of very high (90%-100%) recovery in
the event of a payment default.


FIAT SPA: Government Approves Equal Partnership With Tata Motors
----------------------------------------------------------------
Partners Fiat Group Automobiles S.p.A and Tata Motors Ltd's
joint venture, Fiat India Automobiles Pvt Ltd, have been given
permission by the Maharashtra Government to restructure the
present 51:49 equity to an equal partnership with each one
holding a 50:50 share.  

Fiat SpA and Tata Motors have committed to invest an estimated
amount of RS4,000 crore to be delivered in phases depending on
the requirements.  The project aims to manufacture cars for the
two companies, Fiat engines and power trains for the local
market and for the global market in the future.

                      About Fiat S.p.A.

Headquartered in Turin, Italy, Fiat S.p.A. --
http://www.fiatgroup.com/-- is one of the largest industrial
groups in Italy and the fourth largest European-based automobile
manufacturer, with revenues of EUR33.4 billion in the first nine
months of 2005.  Fiat's creditors include Banca Intesa, Banca
Monte dei Paschi di Siena, Banca Nazionale del Lavoro,
Capitalia, Sanpaolo IMI, and UniCredito Italiano.

Fiat operates in Argentina, Australia, Austria, Belgium, Brazil,
Bulgaria, China, Czech Republic, Denmark, France, Germany,
Greece, Hungary, India, Ireland, Italy, Japan, Lituania,
Netherlands, Poland, Portugal, Romania, Russia, Singapore,
Spain, among others.

                        *     *     *

In November 2007, Moody's Investors Service changed the outlook
on Fiat S.p.A. and subsidiaries' Ba3 Corporate Family Rating to
positive from stable and affirmed its Ba3 long-term senior
unsecured ratings as well as the short-term non-Prime rating.

In October 2007, Fitch Ratings affirmed Fiat S.p.A.'s Issuer
Default and senior unsecured ratings at BB- and Short-term
rating at B.

The company carries Standard & Poor's Ratings Services' BB long-
term corporate credit rating.  The compay also carries B short-
term rating.  S&P said the outlook is stable.


GENERAL MOTORS: To Shut More Plants as UAW Talks Resume
-------------------------------------------------------
Two more General Motors Corp. plants are likely to shutter this
week as supplier American Axle & Manufacturing Inc. continues to
negotiate with United Auto Workers union workers on strike, Tom
Krisher of The Associated Press reports.

As reported in the Troubled Company Reporter on Feb. 29, 2008,
GM's production of Chevrolet Silverado and GMC Sierra pickups at
the Pontiac Assembly Center, which has 2,500 hourly and salaried
employees, in Michigan, ceased after the first shift Thursday.

On Friday, GM production factories in Flint, Michigan, Fort
Wayne, Indiana, and Oshawa, Ontario, were idled after the second
shift, displacing a total of 9,503 hourly and salaried workers.

A list of impacted facilities is available at
http://bankrupt.com/misc/GMImpactedPlants_5pm_feb29.pdf

As previously reported, UAW president Ron Gettelfinger and Vice
President James Settles disclosed that members at American Axle
began an unfair labor practices strike at 12:01 a.m. on
Feb. 26, 2008, following expiration of a four-year master labor
agreement.

Headquartered in Detroit, Michigan, General Motors Corp. (NYSE:
GM) -- http://www.gm.com/-- was founded in 1908.  GM employs
about 266,000 people around the world and manufactures cars and
trucks in 35 countries, including the United Kingdom, Germany,
France, Russia, Brazil and India.  In 2007, nearly 9.37 million
GM cars and trucks were sold globally under the following
brands: Buick, Cadillac, Chevrolet, GMC, GM Daewoo, Holden,
HUMMER, Opel, Pontiac, Saab, Saturn, Vauxhall and Wuling.  GM's
OnStar subsidiary is the industry leader in vehicle safety,
security and information services.

                          *     *     *

As reported in the Troubled Company Reporter-Latin America on
Feb. 28, 2008, Fitch Ratings has affirmed the Issuer Default
Rating of General Motors at 'B', with a Rating Outlook Negative.

As reported in the Troubled Company Reporter on Nov. 9, 2007,
Moody's Investors Service affirmed its rating for General Motors
Corporation (B3 Corporate Family Rating, Ba3 senior secured,
Caa1 senior unsecured and SGL-1 Speculative Grade Liquidity
rating) but changed the outlook to Stable from Positive.  In an
environment of weakening prospects for US auto sales GM has
announced that it will take a non-cash charge of $39 billion for
the third quarter of 2007 related to establishing a valuation
allowance against its deferred tax assets in the US, Canada and
Germany.

As reported in the Troubled Company Reporter on Oct. 23, 2007,
Standard & Poor's Ratings Services affirmed its 'B' corporate
credit rating and other ratings on General Motors Corp. and
removed them from CreditWatch with positive implications, where
they were placed Sept. 26, 2007, following agreement on the new
labor contract.  The outlook is stable.


KRATON POLYMERS: Increases U.S. Produce Price Effective April 1
---------------------------------------------------------------
Kraton Polymers LLC has experienced unprecedented cost increases
associated with energy, raw materials, packaging, and logistics
costs throughout 2007.

In the first quarter of 2008 both crude oil and butadiene
monomer are moving to new record price levels, while styrene
monomer and other energy related costs are continuing to
increase as well.

As a result of these economic realities, effective
April 1, 2008, the company is implementing a general price
increase of 10 cents per pound on SBS based polymers and
compounds in the North American market.

Based in Houston, Texas, Kraton Polymers LLC --
http://www.kraton.com/-- produces styrenic block copolymers.
SBCs are highly-engineered thermoplastic elastomers, which
enhance the performance of numerous products by delivering a
variety of attributes, including greater flexibility,
resilience, strength, durability and processability.  Kraton
polymers are used in a wide range of applications including
adhesives, coatings, consumer and personal care products,
sealants, lubricants, medical, packaging, automotive, paving,
roofing, and footwear products.  Kraton has the leading position
in nearly all of its core markets and is the only producer of
SBCs with global manufacturing capability.  Its production
facilities are located in the United States, Germany, France,
The Netherlands, Brazil, and Japan.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
Nov. 21, 2007, Moody's Investors Service has affirmed Kraton
Polymers LLC's B1 corporate family rating but revised the
company's outlook to negative as Moody's expects continued
margin weakness, due to delays in passing on the full extent of
raw material cost increases to Kraton customers, which will
diminish free cash flow from operations over the next 12 to 18
months.


NOVELL INC: Earns US$16.8 Million in Fiscal First Quarter 2008
--------------------------------------------------------------
Novell Inc's net profit increased to US$16.8 million in its
fiscal first quarter 2008 ended Jan. 31, 2008, compared to a
US$19.9 million net loss in the same period last year.

For the quarter, Novell reported net revenue of US$231 million.  
This compares to net revenue of US$218 million for the first
fiscal quarter 2007.  Income from operations for the first
fiscal quarter 2008 was US$8 million, compared to a loss from
operations of US$21 million for the first fiscal quarter 2007.  
Income from continuing operations in the first fiscal quarter
2008 was US$15 million, or US$0.04 per share.  This compares to
a loss from continuing operations of US$12 million, or US$0.04
loss per share, for the first fiscal quarter 2007.  Foreign
currency exchange rates favorably impacted revenue and
unfavorably impacted operating expenses by US$7 million and did
not materially impact income from operations year-over-year.

On a non-GAAP basis, income from operations for the first fiscal
quarter 2008 was US$24 million.  This compares to non-GAAP loss
from operations of US$1 million in the year-ago quarter.  Non-
GAAP income from continuing operations for the first fiscal
quarter 2008 was US$29 million, or US$0.08 per share.  This
compares to non-GAAP income from continuing operations of US$3
million, or US$0.01 per share, for the first fiscal quarter
2007.

For the first fiscal quarter 2008, Novell reported US$30 million
of revenue from Open Platform Solutions of which US$28 million
was from Linux Platform Products, up 65% year-over-year.  
Revenue from Identity and Security Management was US$32 million
of which Identity and Access Management was US$28 million, up
15% year-over-year.  Revenue from Systems and Resource
Management was US$37 million, up 5% year-over-year.  Workgroup
revenue of US$90 million was up 1% year-over-year.

“We are very pleased with our results this quarter.  We
delivered product revenue growth across all business units and
continued expense control this quarter,” said Ron Hovsepian,
President and CEO of Novell.  “These results are indicative that
our strategic initiatives are yielding tangible results and that
we are on the right path to achieve long-term, sustainable
profitability.”

Cash, cash equivalents, and short-term investments were US$1.8
billion at Jan. 31, 2008, consistent with the year-ago quarter.  
Days sales outstanding in accounts receivable was 51 days at the
end of the first fiscal quarter 2008, down from 57 days at the
end of the year-ago quarter.  Total deferred revenue was US$723
million at the end of the first fiscal quarter 2008, down from
US$728 million at the end of the year-ago quarter.  Cash flow
from operations was a negative US$26 million for the first
fiscal quarter 2008 which includes US$31 million in special
interest and restructuring payments.  This compares to cash flow
from operations of US$348 million in the first fiscal quarter
2007 which includes the US$348 million payment from Microsoft
and US$8 million in special interest payments.

As a result of our acquisition of PlateSpin and our first fiscal
quarter 2008 performance, Novell's management issued this
financial guidance for the full fiscal year 2008:

          -- net revenue is expected to be between
             US$940 million and US$970 million exceeding
             previously stated guidance of between
             US$920 million and US$945 million.

          -- Non-GAAP operating margin is expected to be between
             7% and 9%, excluding all acquisition-related
             intangible asset amortization.

Headquartered in Waltham, Massachusetts, Novell Inc. (Nasdaq:
NOVL) -- http://www.novell.com/-- delivers infrastructure
software for the Open Enterprise.  Novell provides desktop to
data center operating systems based on Linux and the software
required to secure and manage mixed IT environments.

The company has offices in Australia, Argentina, Austria,
Belgium, Brazil, China, Czech Republic, Finland, Germany, Hong
Kong, Hungary, India, Ireland, Japan, Luxembourg, Malaysia,
Netherlands, New Zealand, Norway, Philippines, Poland,
Singapore, South Korea, Spain, Sweden, Switzerland, Taiwan,
Thailand and United Kingdom.

                          *     *     *

Novell Inc.'s subordinated debt carries Moody's Investors
Service's B1 rating.


PROPEX INC: Section 341 Meeting of Creditors Set for March 11
-------------------------------------------------------------
Richard F. Clippard, the U.S. Trustee for Region 8, will convene
a meeting of creditors of Propex, Inc., and its debtor-
affiliates on March 11, 2008, at 10:00 a.m., prevailing Eastern
Time, at the U.S. Bankruptcy Court, Basement Room 18, 31 East
11th Street, Chattanooga, Tennessee.

The meeting may be continued until April 8, 2008, and is
expected to conclude after the filing of the Debtors' Schedules
and Statements of Financial Affairs.

This is the first meeting of creditors required under Section
341(a) of the Bankruptcy Code in the Debtors' bankruptcy cases.

The Section 341 meeting in the Debtors' cases was originally set
for March 4.

Attendance by the Debtors' creditors at the meeting is welcome,
but not required.  The Sec. 341(a) meeting offers the creditors
a one-time opportunity to examine the Debtors' representative
under oath about the Debtors' financial affairs and operations
that would be of interest to the general body of creditors.

Headquartered in Chattanooga, Tennessee, Propex Inc. --
http://www.propexinc.com/-- produces geosynthetic, concrete,
furnishing, and industrial fabrics and fiber.  It is produces
primary and secondary carpet backing.  Propex operates in North
America, Europe, and Brazil.

The company and its debtor-affiliates filed for Chapter 11
protection on Jan. 18, 2008 (Bankr. E.D. Tenn. Case No. 08-
10249).  The debtors' has selected Edward L. Ripley, Esq., Henry
J. Kaim, Esq., and Mark W. Wege, Esq. at King & Spalding, in
Houston, Texas, to represent them.  As of Sept. 30, 2007, the
debtors' balance sheet showed total assets of US$585,700,000 and
total debts of US$527,400,000.  The Debtors' exclusive period to
file a plan of reorganization expires on May 17, 2008.

(Propex Bankruptcy News, Issue No. 7; Bankruptcy Creditors'
Service Inc., http://bankrupt.com/newsstand/or 215/945-7000)  


PROPEX INC: Wants Court Nod on Dalton Property Sale Procedures
--------------------------------------------------------------
Propex Inc. and its debtor-affiliates ask the U.S. Bankruptcy
Court for the Eastern District of Tennessee to:

   (a) after an initial and interim hearing, approve the
       proposed auction and sale process for a proposed Dalton
       Property sale;

   (b) authorize them to modify and assume an Auction Listing
       Contract with Potts Brothers;

   (c) after a final hearing, authorize the sale of the Dalton
       Property to the highest bidder;

   (d) allow them to pay a real estate commission to Potts
       Brothers in the event the Dalton Property is successfully
       consummated; and

   (e) rule that a sale arising from the proposed sale process
       be deemed to be exempt from any sales or transfer taxes.

The Debtors own a certain real property located at 821-835
Shugart Road, in Dalton, Whitfield County, Georgia.  The Dalton
Property is comprised of approximately 12.5 acres of real
property, where three industrial buildings that were formerly
used by the Debtors as a warehousing and distribution center are
located.

In early 2007, the Debtors determined that the Dalton Property
is not necessary or beneficial to their business and operations.  
Thereafter, they ceased operations at the Dalton Property, and
since then, the property has been largely unused and vacant.  
The Debtors though currently store a small amount of inventory
at the Dalton Premises.

Mark W. Wege, Esq., at King & Spalding, LLP, in Houston, Texas,
asserts that a sale of the Dalton Property would permit the
Debtors to monetize the asset for distribution to creditors and
would facilitate a successful reorganization.  The Debtors
believe that a sale of the Dalton Property would yield
significant benefits for their creditors and estates.

                     Potts Brothers Contract

In connection with their efforts to sell the Dalton Property to
the highest bidder, the Debtors entered into an auction listing
contract with Potts Brothers Land and Auction, LLC, on Sept. 28,
2007.  Potts Brothers agreed to "provide necessary auction
personnel, labor, sales information, plats, property packages,
photos and signs" related to the auction of the Dalton Property.  
In compensation for its efforts, the parties agreed that Potts
Brothers would receive an 8% "buyer's premium" from the proceeds
of the auction sale.  In the event of a "No Sale," the Debtors
would reimburse Potts Brothers for advertising costs and any
costs related to surveying the Dalton Property.

Potts Brothers then advertised and marketed the Dalton Property
for a Jan. 31, 2008 auction pursuant to an advertising and
marketing plan it agreed upon with the Debtors.  As a result of
those marketing efforts, 11 potential buyers expressed interest
in the Dalton Property, with eight of those potential buyers
conducting some preliminary due diligence with respect to the
Property.

However, prior to the scheduled Auction, the Debtors filed for
bankruptcy protection and instructed Potts Brothers to cancel
the Jan. 31 Auction and to temporarily cease its advertising and
marketing efforts pending further instructions from the Court.

Mr. Wege states that the Auction Listing Contract currently sets
March 1, 2008, as the "outside date" for closing the sale of the
Dalton Property to the successful bidder at auction.

Because the Debtors' proposed sale process contemplates a
Closing Date after March 1, 2008, the Debtors and Potts Brothers
desire for the outside date to be amended to June 30, 2008.  
This amendment should ensure that the sale of the Dalton
Property will be closed before the outside date under the
Auction Listing Contract.

                      Proposed Sale Process

To fully maximize the value to be realized from the proposed
sale, the Debtors developed a process for auctioning the Dalton
Property.

The Debtors seek to sell and transfer the Dalton Property to a
prevailing bidder, on an "as is" and "where is" basis.

Potts Brothers will implement a marketing process for the sale
of the Dalton Property until the Auction date.

Potts Brothers will conduct an auction with respect to the sale
of the Dalton Property on May 16, 2008, at 10:00 a.m.  The
Dalton Property has been divided into three tracts pursuant to a
survey conducted by Allied Surveying Inc. in October 2007 at the
behest of Potts Brothers and the Debtors.

   * At the Auction, the Potts Brothers will first offer for
     bidding each of the three separate tracts on an individual
     basis.  

   * After Potts Brothers determines the highest or best bid for
     each of the three individual tracts, it will offer for
     bidding the three tracts together.

   * After the bidding is complete for the three tracts
     together, Potts Brothers will determine, subject to
     Bankruptcy Court approval, the bid or combination of bids
     for the Dalton Property that represent the highest or best
     offer for the Dalton Property and the determination will be
     announced by Potts Brothers at the Auction, together with
     the final bid amount inclusive of the 8% "buyer's premium"
     covering Potts Brothers' commission.

   * On the day of the Auction, each party submitting a
     Prevailing Bid will pay by cashiers' or certified check a
     deposit equal to 10% of the amount of its Prevailing Bid.

   * All bidding for the Dalton Property will be concluded at
     the Auction and there will be no further bidding at the
     Sale Hearing.

The Debtors propose that the Auction will be conducted as a
"reserve auction."  In the event that no bid or combination of
bids are received at the Auction that are satisfactory to the
Debtors in their sole and absolute discretion, Potts Brothers
will announce that there is no successful bidder for the Dalton
Property and no Prevailing Bid will be presented to the Court.

If the Debtors select a Prevailing Bid or Bids at the Auction,
within one day of completion of the Auction, the Debtors will
(a) file a notice with the Court setting forth the identity of
each Prevailing Bidder and the amount of each Prevailing Bid,
and (b) serve the Bid Notice on the parties on the master
service list in the case.

Prior to a sale hearing, the Debtors will provide the Official
Committee of Unsecured Creditors with information made available
to it at the Auction regarding the Prevailing Bidders, and will
confer and consult with the Creditors Committee regarding the
Prevailing Bids after the Debtors' acceptances.

The Debtors further ask the Court to set a hearing on
May 21, 2008, at 9:00 a.m. local time in Chattanooga, Tennessee,
to consider approval of the Dalton Property sale.  The Debtors
intend to present the Prevailing Bid or Bids for approval at the
Sale Hearing.

The Debtors will be deemed to have accepted a bid only when that
bid has been approved by the Court at the Sale Hearing.  Upon
the failure to consummate a sale of the Dalton Property after
the Sale Hearing because of the occurrence of a breach or
default under the terms of the Prevailing Bid:

   (1) the next highest or otherwise best bid, as disclosed at
       the Sale Hearing, will be deemed the Prevailing Bid
       without further Court order, and the parties will be
       authorized and directed to consummate the transaction
       contemplated by the backup Prevailing Bid; and

   (2) the Debtors will be entitled to retain the defaulting
       bidder's deposit as liquidated damages.

At all times during the Proposed Sale Process, the Debtors seek
to retain full discretion and right to determine, in their sole
discretion, which bid or bids constitute the highest or
otherwise best offer for the purchase of the Dalton Property,
and which bid or bids should be selected as Prevailing Bid or
Bids, if any, all subject to final approval by the Court.

The Debtors reserve their rights to, at any time before the
entry of a Court order approving a Prevailing Bid, reject any
bid that they determine is (i) inadequate or insufficient, (ii)
contrary to the requirements of the Bankruptcy Code or the
Proposed Sale Process, or (iii) contrary to the best interests
of their estates and creditors.  

The Debtors propose that all closings related to the sale of the
Dalton Property will take place no later than 30 days after the
Court approves the sale.

                     About Propex Inc.

Headquartered in Chattanooga, Tennessee, Propex Inc. --
http://www.propexinc.com/-- produces geosynthetic, concrete,
furnishing, and industrial fabrics and fiber.  It is produces
primary and secondary carpet backing.  Propex operates in North
America, Europe, and Brazil.

The company and its debtor-affiliates filed for Chapter 11
protection on Jan. 18, 2008 (Bankr. E.D. Tenn. Case No. 08-
10249).  The debtors' has selected Edward L. Ripley, Esq., Henry
J. Kaim, Esq., and Mark W. Wege, Esq. at King & Spalding, in
Houston, Texas, to represent them.  As of Sept. 30, 2007, the
debtors' balance sheet showed total assets of US$585,700,000 and
total debts of US$527,400,000.  The Debtors' exclusive period to
file a plan of reorganization expires on May 17, 2008.  (Propex
Bankruptcy News, Issue No. 5; Bankruptcy Creditors' Service
Inc., http://bankrupt.com/newsstand/or 215/945-7000)



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

ACM BERNSTEIN: Will Hold Final Shareholders Meeting on March 10
---------------------------------------------------------------
ACM Bernstein Absolute Return Credit Strategy Fund will hold its
final shareholders' meeting on March 10, 2008, at 9:20 a.m. at
Close Brothers (Cayman) Limited, 4th Floor Harbor Place, George
Town, Grand Cayman.

These matters will be taken up 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 six years from the
              dissolution of the company, after which they may
              be destroyed.

ACM Bernstein's shareholders decided on Jan. 7, 2008, to place
the company into voluntary liquidation under The Companies Law
(2004 Revision) of the Cayman Islands.

The liquidator can be reached at:

             John Sutlic
             Attn: Kim Charaman
             Close Brothers (Cayman) Limited
             Fourth Floor, Harbor Place
             P.O. Box 1034, Grand Cayman KYI-1102
             Cayman Islands
             Telephone: (345) 949 8455
             Fax: (345) 949 8499


ACM HIGH: Final Shareholders Meeting Is on March 10
---------------------------------------------------
ACM High Grade Strategy Fund will hold its final shareholders'
meeting on March 10, 2008, at 9:30 a.m. at Close Brothers
(Cayman) Limited, 4th Floor Harbor Place, George Town, Grand
Cayman.

These matters will be taken up 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 six years from the
              dissolution of the company, after which they may
              be destroyed.

ACM High's shareholders decided on Jan. 7, 2008, to place the
company into voluntary liquidation under The Companies Law (2004
Revision) of the Cayman Islands.

The liquidator can be reached at:

             John Sutlic
             Attn: Kim Charaman
             Close Brothers (Cayman) Limited
             Fourth Floor, Harbor Place
             P.O. Box 1034, Grand Cayman KYI-1102
             Cayman Islands
             Telephone: (345) 949 8455
             Fax: (345) 949 8499


ACM STRATEGIC: Will Hold Final Shareholders Meeting on March 10
---------------------------------------------------------------
ACM Strategic High Grade Fund will hold its final shareholders'
meeting on March 10, 2008, at 9:40 a.m. at Close Brothers
(Cayman) Limited, 4th Floor Harbor Place, George Town, Grand
Cayman.

These matters will be taken up 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 six years from the
              dissolution of the company, after which they may
              be destroyed.

ACM Strategic's shareholders decided on Jan. 7, 2008, to place
the company into voluntary liquidation under The Companies Law
(2004 Revision) of the Cayman Islands.

The liquidator can be reached at:

             John Sutlic
             Attn: Kim Charaman
             Close Brothers (Cayman) Limited
             Fourth Floor, Harbor Place
             P.O. Box 1034, Grand Cayman KYI-1102
             Cayman Islands
             Telephone: (345) 949 8455
             Fax: (345) 949 8499


BERNSTEIN OFFSHORE: Sets Final Shareholders Meeting for March 10
----------------------------------------------------------------
Bernstein Offshore Fund SPC will hold its final shareholders'
meeting on March 10, 2008, at 9:10 a.m. at Close Brothers
(Cayman) Limited, 4th
Floor Harbor Place, George Town, Grand Cayman.

These matters will be taken up 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 six years from the
              dissolution of the company, after which they may
              be destroyed.

Bernstein Offshore's shareholders decided on Jan. 7, 2008, to
place the company into voluntary liquidation under The Companies
Law (2004 Revision) of the Cayman Islands.

The liquidator can be reached at:

             John Sutlic
             Attn: Kim Charaman
             Close Brothers (Cayman) Limited
             Fourth Floor, Harbor Place
             P.O. Box 1034, Grand Cayman KYI-1102
             Cayman Islands
             Telephone: (345) 949 8455
             Fax: (345) 949 8499


MARKET NEUTRAL: Final Shareholders Meeting is on March 10
---------------------------------------------------------
Market Neutral Equity Strategy Sub-Fund will hold its final
shareholders' meeting on March 10, 2008, at 9:50 a.m. at Close
Brothers (Cayman) Limited, 4th Floor Harbor Place, George Town,
Grand Cayman.

These matters will be taken up 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 six years from the
              dissolution of the company, after which they may
              be destroyed.

Market Neutral's shareholders decided on Jan. 7, 2008, to place
the company into voluntary liquidation under The Companies Law
(2004 Revision) of the Cayman Islands.

The liquidator can be reached at:

             John Sutlic
             Attn: Kim Charaman
             Close Brothers (Cayman) Limited
             Fourth Floor, Harbor Place
             P.O. Box 1034, Grand Cayman KYI-1102
             Cayman Islands
             Telephone: (345) 949 8455
             Fax: (345) 949 8499



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

INTERPUBLIC GROUP: S&P Upgrades Corporate Credit Rating to B+
-------------------------------------------------------------
Standard & Poor's Ratings Services raised its corporate credit
rating on Interpublic Group of Cos. Inc. to 'B+' from 'B'.  The
outlook is positive.  The New York City-based global advertising
agency holding company had approximately US$2.3 billion in debt
outstanding as of Dec. 31, 2007.

"The upgrade reflects Interpublic's success in achieving several
quarters of organic revenue and EBITDA growth, and the
remediation of its remaining internal control deficiencies to
bring the company into compliance with the criteria established
by the Committee of Sponsoring Organizations of the Treadway
Commission," explained S&P's credit analyst Debbie Kinzer.

The rating on Interpublic reflects its high leverage, relatively
weak discretionary cash flow, and profitability measures that
are below those of peers.  The company's large portfolio of
advertising and communications services brands, its broad
geographic and business diversity, its return to organic revenue
growth after a period of net client losses, and very strong cash
balances partially offset these factors.  In 2007, the company
completed remediation of the seven internal control weaknesses
that remained from 2006.  However, the outcome of an Securities
and Exchange Commission investigation into company's financial
restatements in recent years is still pending, and Interpublic's
monetary liability regarding this matter has not yet been
determined.

New York-based, Interpublic Group of Companies Inc. (NYSE: IPG)
-- http://www.interpublic.com/-- is one of the world's leading  
organizations of advertising agencies and marketing services
companies.  Major global brands include Draftfcb, FutureBrand,
GolinHarris International, Initiative, Jack Morton Worldwide,
Lowe Worldwide, MAGNA Global, McCann Erickson, Momentum, MRM
Worldwide, Octagon, Universal McCann and Weber Shandwick.  
Leading domestic brands include Campbell-Ewald, Carmichael
Lynch, Deutsch, Hill Holliday, Mullen, The Martin Agency and
R/GA.

The company has operations in Argentina, Brazil, Chile,
Colombia, Costa Rica, Dominican Republic, and Ecuador.


ROCK-TENN CO: Hikes Recycled Paperboard Price to US$50 Per Ton
--------------------------------------------------------------
Rock-Tenn Company reported a US$50.00 per ton price increase on
all grades of coated recycled paperboard.  The price increase is
effective with shipments on March 24, 2008.

Headquartered in Norcross, Georgia, Rock-Tenn Company (NYSE:
RKT) -- http://www.rocktenn.com/-- provides a wide range of
marketing and packaging solutions to consumer products
companies, with operating locations in the United States,
Canada, Mexico, Argentina and Chile.  The company is one of
North America's manufacturers of packaging products,
merchandising displays and bleached and recycled paperboard.

                          *     *     *

As reported in the Troubled Company Reporter-Latin America on
Jan. 31, 2008, Moody's Investors Service confirmed Rock-Tenn
Company's Ba2 corporate family rating and the Ba3 rating on the
company's existing senior notes.  At the same time Moody's
assigned a Ba2 rating to the company's new US$1 billion senior
secured credit facilities and a Ba3 rating to the company's new
US$400 million senior unsecured notes.  Moody's said the rating
outlook is negative.


SCIENTIFIC GAMES: To Provide Sisal With 25,000 WAVE Terminals
-------------------------------------------------------------
Scientific Games has signed a contract to provide 25,000 "next
generation" Leonardo/WAVE(TM) terminals to Sisal S.p.A., a
leading gaming company in Italy.  The Leonardo/WAVE(TM) terminal
was jointly developed with Sisal, and is a customized version of
the WAVE(TM) terminal currently deployed in Connecticut and
Maryland.  Terminal delivery and installation should begin in
April 2008 and span over the next 36 months.  The contract is
expected to generate approximately US$90 million in revenue to
Scientific Games over the course of three years.

The Leonardo/WAVE(TM) terminal is a new sleek and small lottery
terminal that is designed to deliver improved business
efficiencies for retailers, increase lottery sales, and enable
lottery expansion into new retail store formats.  The
Leonardo/WAVE(TM) has the fastest ticket document processing and
printing speeds in the industry making it easier and faster to
use as well as the most versatile lottery retail terminal in the
world.  Among the Leonardo/WAVE(TM)'s extensive list of features
is a 15" wide screen color LCD operator display utilizing the
latest in touch screen technology and a 12" color LCD customer
display with audio and full motion video capability combined to
provide a single customer information and advertising center.  
The Leonardo/WAVE(TM) terminal is realized to meet Sisal's
specialized design requirements and will be delivered with a
long list of other industry-first features to help Sisal
continue its success for many years to come.

"We have been working with Scientific Games since when we
together designed Extrema, the first terminal, and have always
received quality products, great service and superior results,"
said Sisal SpA Chief Executive Officer, Giorgio Sandi.  "We
trust in Scientific Games as a leader in the industry and,
renewing our strong collaboration, we have worked closely with
them to engineer the new state of the art Leonardo/WAVE(TM)
terminal, which will enhance our revenue growth capabilities and
satisfy our retailers and our customers."

"Sisal has been a customer of Scientific Games since 1998, and
we are thrilled that they will be our first European customer to
use the new WAVE(TM) terminal," said Scientific Games
Chairperson and CEO, Lorne Weil.  "We have always recognized
Sisal as a high quality, very creative and extremely efficient
operator and we believe these new Leonardo/WAVE(TM) terminals
will contribute to that reputation."

                     About Scientific Games

Headquartered in New York City, Scientific Games Corporation
(Nasdaq: SGMS) - http://www.scientificgames.com/-- is an  
integrated supplier of instant tickets, systems and services to
lotteries worldwide.  The company is a supplier of fixed odds
betting terminals and systems, amusement and skill with prize
betting terminals, interactive sports betting terminals and
systems, and wagering systems and services to pari-mutuel
operators.  It is also a licensed pari-mutuel gaming operator in
Connecticut, Maine and the Netherlands and is a supplier of
prepaid phone cards to telephone companies.  Scientific Games'
customers are in the United States and more than 60 other
countries.  The company has additional productions and operating
facilities located in Austria, Chile and the United Kingdom.

                         *     *     *

Moody's Investor Services placed Scientific Games Corporation's
probability of default rating at 'Ba2' in September 2006.  The
rating still hold to date with a stable outlook.



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

SOLUTIA INC: Can Assume Wal-Mart Contracts Under Terms of Plan
--------------------------------------------------------------
The U.S. Bankruptcy Court for the Southern District of New York
allowed Solutia Inc. and its debtor-affiliates to assume certain
executory contracts with Wal-Mart Stores Inc., pursuant to the
terms of the Debtors' confirmed Fifth Amended Joint Plan of
Reorganization.

As reported in the Troubled Company Reporter on Feb. 6, 2008,
Wal-Mart may be entitled to take credits or contractual
adjustments for defective products, rebates or other
contractually permitted items that are currently unknown or that
will accrue after the date of the Debtors' assumption of the
Wal-Mart Contracts.  This is done in the ordinary course of
operating under the Wal-Mart Contracts.

The parties have agreed that notwithstanding the proposed cure
amounts of the contracts, Wal-Mart and its subsidiaries and
affiliates are allowed to assert in the ordinary course any
chargebacks that are currently unknown or that will accrue after
the Assumption Date pursuant to the terms of the Wal-Mart
Contracts without regard to the date on which Wal-Mart or its
subsidiary or affiliate purchased the product giving rise to the
Chargeback.

Nothing in the Stipulation constitutes a waiver of the Debtors'
rights to dispute any Chargeback for reasons other than that the
claims were not made before the Assumption Date.

                        About Solutia Inc.

Based in St. Louis, Missouri, Solutia Inc. (OTCBB: SOLUQ) (NYSE:
SOA-WI) -- http://www.solutia.com/-- and its subsidiaries,  
engage in the manufacture and sale of chemical-based materials,
which are used in consumer and industrial applications
worldwide.  Solutia has operations in Malaysia, China,
Singapore, Belgium, and Colombia.

The company and 15 debtor-affiliates filed for chapter 11
protection on Dec. 17, 2003 (Bankr. S.D.N.Y. Lead Case No. 03-
17949).  When the Debtors filed for protection from their
creditors, they listed US$2,854,000,000 in assets and
US$3,223,000,000 in debts.

Solutia is represented by Richard M. Cieri, Esq., Jonathan S.
Henes, Esq., and Michael A. Cohen, Esq., at Kirkland & Ellis
LLP, in New York, as lead bankruptcy counsel, and David A.
Warfield, Esq., and Laura Toledo, Esq., at Blackwell Sanders
LLP, in St. Louis Missouri, as special counsel.  Trumbull Group
LLC is the Debtor's claims and noticing agent.  Daniel H.
Golden, Esq., Ira S. Dizengoff, Esq., and Russel J. Reid, Esq.,
at Akin Gump Strauss Hauer & Feld LLP represent the Official
Committee of Unsecured Creditors, and Derron S. Slonecker at
Houlihan Lokey Howard & Zukin Capital provides the Creditors'
Committee with financial advice.  The Official Committee of
Retirees of Solutia, Inc., et al., is represented by Daniel D.
Doyle, Esq., Nicholas A. Franke, Esq., and David M. Brown, Esq.,
at Spencer Fane Britt & Browne, LLP, in St. Louis, Missouri, and
Frank M. Young, Esq., Thomas E. Reynolds, Esq., R. Scott
Williams, Esq., at Haskell Slaughter Young & Rediker, LLC, in
Birmingham, Alabama.

On Feb. 14, 2006, the Debtors filed their Reorganization Plan &
Disclosure Statement.  On May 15, 2007, they filed an Amended
Reorganization Plan and on July 9, 2007, filed a 2nd Amended
Reorganization Plan.  The Bankruptcy Court approved the Debtors'
amended Disclosure Statement on Oct. 19, 2007.  On
Oct. 22, 2007, the Debtor re-filed a Consensual Plan &
Disclosure Statement and on Nov. 29, 2007, the Court confirmed
the Debtors' Consensual Plan.  Solutia emerged from chapter 11
protection Feb. 28, 2008.  (Solutia Bankruptcy News, Issue No.
119; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000).

                          *     *     *

As reported in the Troubled Company Reporter-Latin America on
Dec. 10, 2007, Standard & Poor's Ratings Services assigned its
'B+' loan rating to Solutia Inc.'s (D/--/--) proposed US$1.2
billion senior secured term loan and a '3' recovery rating,
indicating the likelihood of a meaningful (50%-70%) recovery of
principal in the event of a payment default.  The ratings are
based on preliminary terms and conditions.  S&P also assigned
its 'B-' rating to the company's proposed US$400 million
unsecured notes.

Standard & Poor's expects to assign its 'B+' corporate credit
rating to Solutia if the company and its subsidiaries emerge
from Chapter 11 bankruptcy proceedings in early 2008 as planned.  
S&P expect the outlook to be stable.


SOLUTIA INC: Court Approves Bayer & Lanxess Claims Settlement
-------------------------------------------------------------
The U.S. Bankruptcy Court for the Southern District of New York
approved the stipulation signed by Solutia Inc. with
LANXESS Corporation, Bayer AG, Bayer MaterialScience LLC and
Bayer Corporation.

As reported in the Troubled Company Reporter on Feb. 15, 2008,
Bayer acquired Monsanto Company's styrenics business pursuant to
an Asset Purchase Agreement dated Dec. 31, 1995.  Monsanto later
assigned the APA to Solutia Inc. in September 1997, as part of
Solutia's spin off from Monsanto.

Solutia and Bayer were parties to a Resimene Lease and Operating
Agreement dated July 29, 1999.  Solutia terminated the Resimene
Agreement on June 28, 2000, with a termination fee of
US$2,922,300, payable to Bayer in 18 monthly installments.  As
of the bankruptcy filing, Solutia owed US$432,761 to Bayer for
the two remaining installment payments.

Bayer and Monsanto were also parties to an Indian Orchard Lease
and Services Agreement dated Oct. 31, 1995.  The agreement was
assigned to Solutia as part of the Spin Off.  Bayer terminated
the Indian Orchard Agreement, and Solutia agreed to a
termination fee of US$1,191,101, payable by Bayer in 18 monthly
installments.  As of the bankruptcy filing, Bayer owed
US$397,034 for the six remaining installment payments.

As of the bankruptcy filing, Bayer also owed Solutia US$295,771
for certain purchases of adipic acid.

Since the bankruptcy filing, LANXESS Corporation, Bayer AG,
Bayer MaterialScience LLC, and Bayer, have undergone corporate
reorganizations, and as a result, Lanxess currently holds
certain claims of Bayer and MaterialScience.

Solutia objected to several of Bayer/Lanxess Parties Claims for
damages arising under the APA.

Solutia also filed Schedule No. 10115234 for US$339,771, for
amounts owed by Solutia to Bayer Polymers LLC, now known as
MaterialScience.

                     Settlement Agreement

Following arm's-length negotiations regarding the resolution and
treatment of the Claims, the parties have agreed, among other
things, that Bayer and Lanxess will be entitled to recoup or
offset US$372,034 against the US$397,034 owed to Solutia for the
Indian Orchard Termination Fee.

Bayer/Lanxess parties will pay Solutia US$320,771, representing
the US$25,000 balance of the Indian Orchard Termination Fee
after giving ffect to the Set-Off, plus the US$295,771 owed for
adipic acid purchases.

Also Solutia's Objection will be deemed withdrawn with respect
to the Claims; and upon approval of the Stipulation, Solutia
will be required to reserve the amount of the Allowed Claim in
the Disputed Claims Reserve on account of the Claims.

                       About Solutia Inc.

Based in St. Louis, Missouri, Solutia Inc. (OTCBB: SOLUQ) (NYSE:
SOA-WI) -- http://www.solutia.com/-- and its subsidiaries,  
engage in the manufacture and sale of chemical-based materials,
which are used in consumer and industrial applications
worldwide.  Solutia has operations in Malaysia, China,
Singapore, Belgium, and Colombia.

The company and 15 debtor-affiliates filed for chapter 11
protection on Dec. 17, 2003 (Bankr. S.D.N.Y. Lead Case No. 03-
17949).  When the Debtors filed for protection from their
creditors, they listed US$2,854,000,000 in assets and
US$3,223,000,000 in debts.

Solutia is represented by Richard M. Cieri, Esq., Jonathan S.
Henes, Esq., and Michael A. Cohen, Esq., at Kirkland & Ellis
LLP, in New York, as lead bankruptcy counsel, and David A.
Warfield, Esq., and Laura Toledo, Esq., at Blackwell Sanders
LLP, in St. Louis Missouri, as special counsel.  Trumbull Group
LLC is the Debtor's claims and noticing agent.  Daniel H.
Golden, Esq., Ira S. Dizengoff, Esq., and Russel J. Reid, Esq.,
at Akin Gump Strauss Hauer & Feld LLP represent the Official
Committee of Unsecured Creditors, and Derron S. Slonecker at
Houlihan Lokey Howard & Zukin Capital provides the Creditors'
Committee with financial advice.  The Official Committee of
Retirees of Solutia, Inc., et al., is represented by Daniel D.
Doyle, Esq., Nicholas A. Franke, Esq., and David M. Brown, Esq.,
at Spencer Fane Britt & Browne, LLP, in St. Louis, Missouri, and
Frank M. Young, Esq., Thomas E. Reynolds, Esq., R. Scott
Williams, Esq., at Haskell Slaughter Young & Rediker, LLC, in
Birmingham, Alabama.

On Feb. 14, 2006, the Debtors filed their Reorganization Plan &
Disclosure Statement.  On May 15, 2007, they filed an Amended
Reorganization Plan and on July 9, 2007, filed a 2nd Amended
Reorganization Plan.  The Bankruptcy Court approved the Debtors'
amended Disclosure Statement on Oct. 19, 2007.  On Oct. 22,
2007, the Debtor re-filed a Consensual Plan & Disclosure
Statement and on Nov. 29, 2007, the Court confirmed the Debtors'
Consensual Plan.  (Solutia Bankruptcy News, Issue No. 119;
Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)

                         *     *     *

As reported in the Troubled Company Reporter-Latin America on
Dec. 10, 2007, Standard & Poor's Ratings Services assigned its
'B+' loan rating to Solutia Inc.'s (D/--/--) proposed
US$1.2 billion senior secured term loan and a '3' recovery
rating, indicating the likelihood of a meaningful (50%-70%)
recovery of principal in the event of a payment default.  The
ratings are based on preliminary terms and conditions.  S&P also
assigned its 'B-' rating to the company's proposed
US$400 million unsecured notes.

Standard & Poor's expects to assign its 'B+' corporate credit
rating to Solutia if the company and its subsidiaries emerge
from Chapter 11 bankruptcy proceedings in early 2008 as planned.  
S&P expect the outlook to be stable.


SOLUTIA INC: Court Approves Quinn Emanuel as Conflicts Counsel
--------------------------------------------------------------
Solutia Inc. and its Debtor-affiliates obtained approval from
the U.S. Bankruptcy Court for the Southern District of New
York's to employ Quinn Emanuel Urquhart Oliver & Hedges LLP, as
their special litigation and conflicts counsel for matters
arising in or related to the Debtors' Chapter 11 cases, nunc pro
tunc to Jan. 22, 2008.

The Troubled Company Reporter said on Feb. 6, 2008, that
according to Rosemary L. Klein, general counsel of Solutia and
an authorized officer of each of the other Debtors, because of
Quinn Emanuel's experience in matters concerning complex
bankruptcy and commercial litigation, the firm is well-suited to
deal effectively with many of the potential legal issues that
may arise in the Debtors' Chapter 11 cases.

As special counsel, Quinn Emanuel will:

  (a) advise the Debtors regarding their ability to initiate
      actions to protect their rights under certain Oct. 25,
      2007 Commitment Letter -- with respect to Solutia's exit
      financing -- and related documents and enforce the
      Commitment Parties' legally binding commitments for the
      benefit of their estates;

  (b) advise the Debtors regarding their ability to initiate
      actions to protect their rights as against the Debtors'
      postpetition lenders; and

  (c) commence and conduct any and all litigation necessary or
      appropriate to assert rights held by the Debtors, protect
      assets of the Debtors' Chapter 11 estates or otherwise
      further the goal of completing the Debtors' successful
      reorganization.

The Debtors will pay Quinn Emanuel in accordance with its
standard hourly rates and reimburse the firm of actual and
necessary expenses.  The firm informs the Court that its rates
are subject to period adjustment to reflect economic and other
conditions.  The firm's current hourly rates are:

             Partners               US$660 - US$950
             Other Attorneys        US$380 - US$950
             Legal Assistants       US$250 - US$280

Quinn Emanuel has not, does not, and will not represent any
entities or any of their respective affiliates or subsidiaries,
in matters related to the Debtors, their Chapter 11 cases, or
other matters directly adverse to the Debtors during the
pendency of their cases, Susheel Kirpalani, Esq., a member of
Quinn Emanuel, assures the Court.

Mr. Kirpalani asserts that the firm is a disinterested person,
as the term is defined by Section 101(14) of the Bankruptcy
Code.

                       About Solutia Inc.

Based in St. Louis, Missouri, Solutia Inc. (OTCBB: SOLUQ) (NYSE:
SOA-WI) -- http://www.solutia.com/-- and its subsidiaries,  
engage in the manufacture and sale of chemical-based materials,
which are used in consumer and industrial applications
worldwide.  Solutia has operations in Malaysia, China,
Singapore, Belgium, and Colombia.

The company and 15 debtor-affiliates filed for chapter 11
protection on Dec. 17, 2003 (Bankr. S.D.N.Y. Lead Case No. 03-
17949).  When the Debtors filed for protection from their
creditors, they listed US$2,854,000,000 in assets and
US$3,223,000,000 in debts.

Solutia is represented by Richard M. Cieri, Esq., Jonathan S.
Henes, Esq., and Michael A. Cohen, Esq., at Kirkland & Ellis
LLP, in New York, as lead bankruptcy counsel, and David A.
Warfield, Esq., and Laura Toledo, Esq., at Blackwell Sanders
LLP, in St. Louis Missouri, as special counsel.  Trumbull Group
LLC is the Debtor's claims and noticing agent.  Daniel H.
Golden, Esq., Ira S. Dizengoff, Esq., and Russel J. Reid, Esq.,
at Akin Gump Strauss Hauer & Feld LLP represent the Official
Committee of Unsecured Creditors, and Derron S. Slonecker at
Houlihan Lokey Howard & Zukin Capital provides the Creditors'
Committee with financial advice.  The Official Committee of
Retirees of Solutia, Inc., et al., is represented by Daniel D.
Doyle, Esq., Nicholas A. Franke, Esq., and David M. Brown, Esq.,
at Spencer Fane Britt & Browne, LLP, in St. Louis, Missouri, and
Frank M. Young, Esq., Thomas E. Reynolds, Esq., R. Scott
Williams, Esq., at Haskell Slaughter Young & Rediker, LLC, in
Birmingham, Alabama.

On Feb. 14, 2006, the Debtors filed their Reorganization Plan &
Disclosure Statement.  On May 15, 2007, they filed an Amended
Reorganization Plan and on July 9, 2007, filed a 2nd Amended
Reorganization Plan.  The Bankruptcy Court approved the Debtors'
amended Disclosure Statement on Oct. 19, 2007.  On
Oct. 22, 2007, the Debtor re-filed a Consensual Plan &
Disclosure Statement and on Nov. 29, 2007, the Court confirmed
the Debtors' Consensual Plan.  (Solutia Bankruptcy News, Issue
No. 119; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)

                         *     *     *

As reported in the Troubled Company Reporter-Latin America on
Dec. 10, 2007, Standard & Poor's Ratings Services assigned its
'B+' loan rating to Solutia Inc.'s (D/--/--) proposed
US$1.2 billion senior secured term loan and a '3' recovery
rating, indicating the likelihood of a meaningful (50%-70%)
recovery of principal in the event of a payment default.  The
ratings are based on preliminary terms and conditions.  S&P also
assigned its 'B-' rating to the company's proposed
US$400 million unsecured notes.

Standard & Poor's expects to assign its 'B+' corporate credit
rating to Solutia if the company and its subsidiaries emerge
from Chapter 11 bankruptcy proceedings in early 2008 as planned.  
S&P expect the outlook to be stable.



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

ALCATEL-LUCENT: State Firm Mulling Co.'s Settlement Proposal
------------------------------------------------------------
Costa Rican state-run electricity monopoly Instituto
Costarricense de Electricidad's legal director Giovanni Bonilla
told Business News Americas that the company is studying
Alcatel-Lucent SA's proposal to settle a judicial dispute with
the firm.

BNamericas relates that Instituto Costarricense demanded in
August 2007, that Alcatel-Lucent pay CRC31.2 billion for not
complying with a mobile telephony infrastructure contract
granted in 2002.  Instituto Costarricense's executive president
Pedro Pablo Quiros had said that Alcatel-Lucent, which at the
time of the contract in question was called Alcatel, must
compensate the company for service failures and noncompliance of
the contract, BNamericas notes.

Mr. Bonilla told BNamericas that Alcatel-Lucent proposed to
install additional GSM lines, base stations, mobile coverage
improvement, and software developments for US$60 million.

The Alcatel-Lucent proposal has nothing to do with the
CRC10-billion Instituto Costarricense lawsuit for supposed
damages resulting from the scandal in which authorities were
allegedly bribed, BNamericas says, citing Mr. Bonilla.  
Instituto Costarricense will continue seeking compensation for
damages through the pending lawsuit, Mr. Bonilla told
BNamericas.

According to BNamericas, Mr. Bonilla said that one of the
conditions to accepting the proposal is Instituto
Costarricense's assuming responsibility for the operations and
maintenance of the system due to the end of of its contractual
relationship with Alcatel-Lucent.

"We are analyzing the technical and legal aspects of the
proposal . . . We expect to reach a final solution in the next
weeks,” Mr. Bonilla commented to BNamericas.

Headquartered in Paris, France, Alcatel-Lucent S.A. --
http://www.alcatel-lucent.com/-- provides solutions that enable
service providers, enterprises and governments worldwide to
deliver voice, data and video communication services to end
users.

Alcatel-Lucent maintains operations in 130 countries, including,
Austria, Germany, Hungary, Italy, Netherlands, Ireland, Canada,
United States, Costa Rica, Dominican Republic, El Salvador,
Guatemala, Peru, Venezuela, Indonesia, Australia, Brunei and
Cambodia.

                          *     *     *

As reported in the TCR-Europe Nov. 9, 2007, Moody's Investors
Service downgraded to Ba3 from Ba2 the Corporate Family Rating
of Alcatel-Lucent.  The ratings for senior debt of the group
were equally lowered to Ba3 from Ba2 and the trust preferred
notes of Lucent Technologies Capital Trust I have been
downgraded to B2 from B1.  At the same time, Moody's affirmed
its Not-Prime rating for short-term debt of Alcatel-Lucent.
Moody's said the outlook for the ratings is stable.

Alcatel-Lucent's Long-Term Corporate Credit rating and Senior
Unsecured Debt carry Standard & Poor's Ratings Services' BB
rating.  Its Short-Term Corporate Credit rating stands at B.



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

NATIONAL DISTRICT MUNICIPALITY: May File for Bankruptcy
-------------------------------------------------------
The Dominican Republic's National District Municipality has
claimed that they may have to file for bankruptcy if they must
pay the FENATRANO bus union's D509 million debt, DR1 Newsletter
reports.

DR1 Newsletter relates that Banco de Reservas has given the
National District Municipality a 45-day period to pay the debt.

Banco de Reservas General Administrator Daniel Toribio told the
union that the payment of the debt could not be extended, DR1
Newsletter says, citing the National District Municipality's
Secretary General Domingo Contreras.

DR1 Newsletter relates that Mr. Contreras, the National District
Municipality's legal consultant Joaquin Lopez, and Defense and
Public Spaces Officer Use's Director Desiderio Arias are urging
FENATRANO director Juan Hubieres to pay the loan as he had
promised.

The National District Municipality would have to sacrifice
infrastructural projects if it pays FENATRANO's debt, DR1
Newsletter states.


TRICOM SA: Files for Bankruptcy Protection in New York
------------------------------------------------------
Dominican Republic-based Tricom SA and its U.S. affiliates filed
a Chapter 11 petition on Feb. 29, 2008, with the U.S. Bankruptcy
for the Southern District of New York, blaming unfavorable
economic conditions after the September 11 terrorist attacks,
Dawn McCarty of Bloomberg News reports, citing papers filed with
the Court.

According to Mr. McCarty quoting Tricom chief restructuring
officer Gabriel Bresler, the attacks preceded the decline of
tourism in the Dominican Republic, the rise of petroleum prices
and the country's 2003 banking crisis, spurring the Debtors'
worsening operating performance and financial condition.

The Debtors disclosed in court documents, net losses of
US$70.4 million in 2007, and US$87.5 million in 2006, Mr.
McCarty relates.  As of the bankruptcy filing, the Debtors have
US$413.2 million in unsecured debt and US$32.4 million in
secured debt, including an outstanding US$200 million of 11-3/8%
senior notes.

The Debtors tell the Court that a pre-packaged plan of
reorganization, which was approved by 97% of creditors allowed
to vote, will be submitted in the coming days.  Pursuant to the
proposed plan, Credit Suisse secured claimants will receive new
secured debt of US$25.5 million at 11% interest.  Unsecured
financial creditors would receive pro rata shares in a newly
formed holding company and US$105 million of secured notes.  
General unsecured creditors will be paid 100%.

A full-text copy of the Debtors' pre-packaged Joint Chapter 11
Plan of Reorganization is available for free at:

               http://ResearchArchives.com/t/s?28a6

Tricom S.A. -- http://www.tricom.net/-- provides telecom  
services in the Dominican Republic.  Operating its own local
access network and a digital cellular system, it has been
scoring against former Dominican monopoly Codetel.  It also owns
its own submarine fiber-optic cables, and it operates switches
based in the United States, where it pitches long distance to
Dominicans calling home.


TRICOM SA: Case Summary & 14 Largest Unsecured Creditors
--------------------------------------------------------
Lead Debtor: Tricom, S.A.
             Avenida Lope de Vega No. 95
             Santo Domingo
             Dominican Republic

Bankruptcy Case No.: 08-10720

Debtor-affiliates filing separate Chapter 11 petitions:

        Entity                                     Case No.
        ------                                     --------
        TCN Dominicana, S.A.                       08-10723
        Tricom USA, Inc.                           08-10724

Type of Business: The Debtors provide telecom services in the
                  Dominican Republic.  They operate their own
                  local access network and a digital cellular
                  system.  They also operate their own submarine
                  fiber-optic cables, and switches based in the
                  US.  See http://www.tricom.net/

Chapter 11 Petition Date: February 29, 2008

Court: Southern District of New York (Manhattan)

Debtors' Counsel: Larren M. Nashelsky, Esq.
                     (lnashelsky@mofo.com)
                  Morrison & Foerster LLP
                  1290 Avenue of the Americas
                  New York, NY 10104
                  Tel: (212) 468-8000
                  Fax: (212) 468-7900
                  http://www.mofo.com

Tricom, SA's Financial Condition:

Total Assets: US$327,600,000

Total Debts:  US$764,600,000

Debtors' Consolidated List of 14 Largest Unsecured Creditors:

   Entity                      Nature of Claim      Claim Amount
   ------                      ---------------      ------------
Bank of New York as Indenture  unsecured fin'l    US$313,750,000
Trustee 11 3/8% Senior Notes   claims
due September 2004 under       (bondholders)
Indenture dated August 21,     holders of 11 3/8%
1997 between Tricom, S.A. and  senior notes due
the Bank of New York           September 1, 2004;

Bank of New York as Indenture
Trustee
Attention: Corporate Trust
Trustee Administration
101 Barclay Street
Floor 21 West
New York, NY 10286
Tel: (212) 850-2929

Deutsche Bank Trust Co.        unsecured financial US$70,066,192
Americas                       claim
Attention: Charles J. Lanktree
& Scott G. Martin
Deutsche Bank Securities, Inc.
60 Wall Street
3rd Floor
New York, NY 10005
Fax: (212) 797-4666
Deutsche Bank Trust Co.
Americas
Attention: Simi Tanner
D.B. Services,
New Jersey, Inc.
Harborside Financial Center
100 Plaza One, 8th Floor
Jersey City, NJ 07311-3988
Mail Stop: J.C.Y. 03-0899
Fax: (212) 250-2440

Stark Trading                  unsecured financial US$38,533,978
Attention: Jeff Froemming      claim
Stark Investments
3600 South Lake Drive
St. Francis, WI 53235
Fax: (414) 294-7608

Citigroup                      unsecured financial US$37,781,935
Attention: Dang Bui & Rafael   claim
Benavente
Citigroup Global Markets, Inc.
390 Greenwich Street
New York, NY 10013
Fax: (212) 723-8651,
(212) 723-8036

Credit Suisse International    unsecured financial US$32,589,106
Attention: Sergio Delgado
11 Madison Avenue-Fourth Floor
Fax: (212) 743-4138

Bancredito                     unsecured financial US$12,438,105
Bancredito Panama, S.A.        claim
Via Espana 177
Edif. Piaza Regency, Piso 15
Apartado 6-6010/6-6011
El Dorado, Panama, Republica
de Panama
Bancredito Panama, S.A.
P.O. Box 1502
Santo Domingo, RD
Swift address: NCREDOSD
Counsel for the Liquidator of
Bancredito Panama, S.A.
Kaye Scholer, L.L.P.
1999 Avenue of the Stars
Suite 1700
Los Angeles, CA 90067-0048     
Fax: (310) 788-1200

Morgan Stanley Senior Funding  unsecured financial US$7,688,333
Attention: Vanesa Marling &    claim
Darragh Dempsey
1 Pierrepont Plaza, 7th Floor
Brooklyn, NY 11201
Fax: (718) 233-0697

Cheyne Capital Management      unsecured financial US$6,409,889
Attention: Cynthia Cox         claim
Cheyne Latam High Income Fund
LP
Claredon House
2 Church Street
Hamilton, Bermuda HM11
Fax: (441) 334-3939
Counsel to Cheyne Capital
Management
Attention: Ronald R. Jewell
Dechert LLP
30 Rockefeller Plaza
New York, New York 10112

Argo Capital Investors Funds   unsecured financial US$5,621,562
S.P.C. for Argo Global Special claim
Situations Fund SP
Attention: Loucas Demetreu
Jackie Court, Suite 401
10 Vasilissis Frederikis
Street
Nicosia 1066 Cyprus
Fax: 00 357 22 44 5177

Millenium Partners, L.P.       unsecured financial US$4,281,560
Attention: Sandra Costa        claim
666 5th Avenue, 8th Floor
New York, NY 10103
Fax: (212) 841-4141

T.C.S. Fund LU S.A.R.L.        unsecured financial US$3,297,748
Attention: Tracy Howard,       claim
Investment Operations
T.P.G. Credit Management, LP
4600 Wells Fargo Center
90 South Seventh Street
Minneapolis, MN 55402
Fax: (612) 851-3001

Greylock Capital               unsecured financial US$1,366,559
Attention: Bruce G. Hart, Esq. claim
99 Park Avenue, 11th Floor
New York, NY 10016
Fax: (212) 808-1801

T.C.S. Fund SP-LU S.A.R.L.     unsecured financial US$1,975,317
Attention: Tracy Howard,       claim
Investment Operations
T.P.G. Credit Management, LP
4600 Wells Fargo Center
90 South Seventh Street
Minneapolis, MN 55402
Fax: (612) 851-3001

Loral Cyberstar, Inc.          unsecured financial   US$616,320
Attention: General Counsel &   claim
Office Manager
2440 Research Boulevard,
Suite 400
Rockville, MD 20850-3238
Fax: (240) 631-6873



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

DEL MONTE: Reports US$53.3 Mil. Net Income in Third Quarter 2008
----------------------------------------------------------------
Del Monte Foods reported net sales for the third quarter fiscal
2008 of US$1,001.1 million compared to US$907.2 million last
year, an increase of 10.4%.  The company's net income was
US$53.3 million compared to US$45.1 million in the previous
year.  Results for the third quarter fiscal 2008 include US$0.02
of transformation-related expense, as compared to third quarter
fiscal 2007 results, which included US$0.04 of transformation-
related expense, purchase accounting impact, and integration
expense.

“We delivered another quarter of strong top-line performance,
driven by solid volume growth, share performance, and new
product success combined with effective execution,” said Richard
G. Wolford, Chairman and CEO of Del Monte Foods.  “However, our
Company continues to experience aggressive cost input increases,
primarily reflecting rapidly accelerating commodity costs as
well as higher fish costs, both of which continue to pressure
earnings.  To combat these pressures, in addition to driving
costs out of the Company, we have since the beginning of fiscal
2008 announced pricing across the vast majority of the business
– including a second pricing action of the fiscal year in our
pet categories and a recent pricing action in fruit. We believe
these pricing actions, combined with our cost reduction
programs, transformation initiatives and innovation execution,
will successfully combat these margin pressures and continue to
build the long-term health of Del Monte.  Importantly, we
continue to expect to create value from our ongoing strong cash
flow.”

The 10.4% increase in net sales for the quarter was driven
primarily by volume growth in Consumer Products.  New product
growth and net pricing (primarily from Fall 2006 Fruit and
Spring 2007 Pet pricing actions) also contributed to net sales
growth.

As part of the company’s three-year, US$200 million share
repurchase authorization, the company repurchased approximately
5.13 million shares of the Company’s common stock for
approximately US$47.5 million during the third quarter.  The
company began purchasing shares under this authorization in mid-
October 2007 and, fiscal year-to-date, has repurchased
approximately 5.37 million shares of the company’s common stock
for approximately US$50.0 million.

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 USUSUS$200 million of the
company's stock over the next 36 months.


PETROECUADOR: Says Oil Spill from Broken Pipeline Now Contained
---------------------------------------------------------------
Petroecuador's 160-man cleanup crew have contained the 4,000
barrel oil spill caused when landslides hit a major pipeline.

The report says that the pipeline transports almost 70% of the
511,000 barrels of crude produced daily in Ecuador.  

About 262 feet of the pipeline was destroyed on Thursday due to
a landslide that resulted from heavy rains, dumping some 4,000
barrels of crude into a swamp in a mountainous region, the
Associated Press reports, citing Petroecuador officials.

Ecuadorian Oil Minister Galo Chiriboga told the AP that
“environmental fallout from the spill is grave, as many Coca
River tributaries, a water source for nearby communities, have
been contaminated.”

According to the AP, Petroecuador shut the pipeline and on
Friday declared force majeure to suspend oil supply obligations.  

Minister Chiriboga told Dow Jones Newswires, "We have low levels
of crude in stock and we need to supply local necessities for
refining crude."

Reuters relates that Petroecuador delayed exports of its Oriente
crude after the pipeline was shut down.

The pipeline's closure delayed an 86,000-barrel crude oil
delivery to oil company Petrobell Inc., but reserves kept oil
export volumes from being affected by the pipeline's closure,
the AP says, citing Minister Chiriboga.

Shipments of 400,000 barrels to Agip SpA and 360, 000 to Valero
Energy Corp. would also be delayed, Minister Chiriboga told Dow
Jones.

The AP relates that a second duct that transports oil
derivatives was also closed.  Crude extracted since the break in
the pipline is being stored in the Amazon region, according to
the report.  

Petroecuador told the AP that once the Amazon facilities, which
are already half full, run out of space before the pipeline is
fixed, production will be cut.  

Repairs on the pipeline started last Friday and were expected to
take 72 hours, the AP states.

Petroecuador's production won't be disrupted by the repairs,
Minister Chiriboga told Reuters.

Headquartered in Quito, Ecuador, Petroecuador --
http://www.petroecuador.com.ec-- is an international oil
company owned by the Ecuador government.  It produces crude
petroleum and natural gas.

                          *     *     *

In previous years, Petroecuador, according to published reports,
was 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.  In 2008, a new management team was
appointed to turn around the company's operations.


====================
E L  S A L V A D O R
====================

BANCO INDUSTRIAL: Works With Investors to Set Up Salvadorian Arm
---------------------------------------------------------------
Banco Industrial's International Banking Director Luis Prado
told Business News Americas that the bank has collaborated with
investors to launch a bank in El Salvador.

According to BNamericas, Mr. Prado said that the new bank will
operate under the Banco Industrial name and the bank's parent
will be its controlling shareholder.

Banco Industrial will launch operations in El Salvador in the
first half of 2008 after securing authorization from Salvadorian
authorities, Mr. Prado told BNamericas.

Banco Industrial's banking unit in El Salvador will compete with
13 other banks, BNamericas notes, citing data from El Salvador's
financial sector regulator Superintendencia del Sistema
Financiero.

Headquartered in Ciudad de Guatemala, Guatemala, Banco
Industrial, S.A., operates as a bank providing loans, depository
accounts and related services.

                          *     *     *

As reported in the Troubled Company Reporter-Latin America on
Jan. 21, 2008, Moody's Investors Service affirmed the positive
outlook for the Ba3 and Not Prime long and short term foreign
currency deposit ratings for Banco Industrial S.A.  

As reported in the Troubled Company Reporter-Latin America on
Jan. 15, 2008, Standard & Poor's Ratings Services affirmed its
'BB-/B' counterparty credit and CD ratings on Banco Industrial
S.A.  S&P said the outlook is stable.  



HERBALIFE LTD: Canaccord Adams Reaffirms Buy Rating on Firm
-----------------------------------------------------------
Canaccord Adams analyst Scott Van Winkle has reaffirmed his
"buy" rating on Herbalife Ltd.'s shares, Newratings.com reports.

Newratings.com relates that the one-year target price for
Herbalife's shares was increased to US$57 from US$54.

Mr. Winkle said in a research note that Herbalife's fourth
quarter 2007 results were strong, with revenues and earnings per
share surpassing the consensus.

Mr. Winkle told Newratings.com that Herbalife continues to
benefit from the daily consumption models the company and its
distributors deployed.

According to Newratings.com, Canaccord Adams said that
Herbalife’s new selling concept would prop up its long-term
prospects "as it gains traction in other markets, including
South America and China."

Newratings.com says that Herbalife's earnings per estimate for
2008 was increased to US$3.30 from US$3.20.

Meanwhile, Wedbush Morgan analysts have reaffirmed their "buy"
rating on Herbalife's shares and increased the target price to
US$50 from US$47, Newratings.com states.

Herbalife Ltd. (NYSE: HLF) -- http://www.herbalife.com/--
Herbalife, now in its 26th year, conducts business in 62
countries.  The company does business with several manufacturers
worldwide and has its own manufacturing facility in Suzhou,
China as well as major distribution centers in Venray,
Netherlands, Japan, Los Angeles, Calif., Memphis, Tenn.,
Guadalajara, Mexico, and El Salvador.  The company also has
operations in Venezuela.

                          *      *      *

As reported in the Troubled Company Reporter on April 5, 2007,
Standard & Poor's Ratings Services said that its 'BB+' corporate
credit rating on Los Angeles-based Herbalife Ltd. remains on
CreditWatch with negative implications following the company's
announcement that the company's board of directors has rejected
a bid to be acquired by Whitney V L.P.  The board indicated that
although it views Whitney's bid as too low, it would consider an
improved offer.



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

GOODYEAR TIRE: To Supply Tires to Pacific Gas Within Three Years
----------------------------------------------------------------
The Goodyear Tire & Rubber Company has signed a three-year
contract to supply tires and business solutions to Pacific Gas
and Electric Company.

Goodyear will supply Pacific Gas with a wide variety of truck
tires, including replacement and retreads, as well as tire
services and system controls.  Pacific Gas operates more than
12,000 trucks and specialty equipment in serving electric and
natural gas customers in central and northern California.

Goodyear vice president of commercial tire systems, Steve
McClellan said, "We're excited about this new relationship with
Pacific Gas and Electric Company, one of the nation's top
utilities in a high-growth area.  Increasingly, utility fleets
that provide infrastructure and keep energy flowing for growing
communities are an important area for Goodyear products and
services."

"We've worked hard to develop innovative products and fleet
solutions that will help lower PG&E's tire cost per mile,
improve vehicle uptime and provide relevant data on their fleet
tire needs," Mr. McClellan added.

Pacific Gas and Electric's director of transportation and
engineering, David Meisel said, "With tires as one of the
largest expense of any fleet, the need to manage a successful
tire program is critical.  At PG&E, we look at the total cost
structure associated with our tire program."

"In addition to the initial purchase price, we focus on the
quality of the original tire, the casing, the retread and
retread process as well as the distribution network.  Goodyear
has shown that it can deliver on all counts with an effective
tire maintenance program," Mr. Meisel concluded.

                About Pacific Gas & Electric Co.

Based in San Francisco, Pacific Gas and Electric Company --
http://www.pge.com/-- is one of the largest combination natural  
gas and electric utilities in the United States.  The subsidiary
of the PG&E Corporation (NYSE: PCG) provides natural gas and
electric service to 15 million people in northern and central
California.

                      About Goodyear Tire

Headquartered in Akron, Ohio, The Goodyear Tire & Rubber Company
(NYSE: GT) -- http://www.goodyear.com/-- is the world's largest  
tire company.  The company manufactures tires, engineered rubber
products and chemicals in more than 90 facilities in 28
countries.  Goodyear's operations are located in Argentina,
Austria, Chile, Colombia, France, Italy, Guatemala, Jamaica,
Peru, Russia, among others.  Goodyear employs more than 80,000
people worldwide.

                          *     *     *

In June 2007, Standard & Poor's Ratings Services raised its
ratings on Goodyear Tire & Rubber Co., including its corporate
credit rating to 'BB-' from 'B+'.  The ratings still apply to
date.



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

UNO RESTAURANT: Moody's Drops Corporate Family Rating to Caa2
-------------------------------------------------------------
Moody's Investors Service has downgraded the corporate family
rating of Uno Restaurant Holdings Corp. to Caa2 from Caa1.  The
outlook is negative.

The downgrade of the corporate family rating to Caa2 from Caa1,
as well as the negative outlook, reflect the company's continued
weak operating performance and margin deterioration, due in part
to negative traffic patterns and increasing cost pressures that
have resulted in persistently weak debt protection metrics and
tenuous liquidity that are inconsistent with the current rating.  
The ratings and outlook also incorporate Moody's view that the
cushion under Uno's debt covenants remains modest and the
probability that the company will require an amendment to its
covenants over the intermediate term is likely.

Ratings downgraded are:

   -- Corporate family rating to Caa2 from Caa1
   -- Probability of default rating to Caa2 from Caa1

Ratings affirmed are:

   -- US$142 million second lien senior secured notes rated Caa2
      (LGD4, 61%)

   -- Speculative Grade Liquidity rating of SGL-4

The rating outlook is negative.

The company's revenue for the twelve month period ending
Dec. 30, 2007, was approximately US$317 million.

Based in Boston, Massachusets, Uno Restaurant Holdings
Corporation -- http://www.unos.com/--currently has a system  
of over 200 company-owned and franchised full service units.  
Uno Chicago Grill restaurants are located in 31 states, the
District of Columbia, Puerto Rico, Honduras, South Korea and the
United Arab Emirates.



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

NATIONAL COMMERCIAL: Olint's Injunction Against Bank Extended
-------------------------------------------------------------
Jamaica's High Court Judge Roy Jones has extended the injunction
alternative investment scheme Olint Limited secured to block the
National Commercial Bank from closing its accounts, Radio
Jamaica reports.

As reported in the Troubled Company Reporter-Latin America on
Feb. 19, 2008, lawyers representing Olint said that the
injunction it secured from the Supreme Court of Jamaica against
the National Commercial would be extended further.  The Supreme
Court granted Olint an extension of the injunction against the
National Commercial until Feb. 15, preventing the bank from
closing Olint's accounts.  Olint had taken out the injunction
against the National Commercial on Jan. 11, 2008, when the
National Commercial had planned to close Olint's accounts,
alleging that the company was unregulated and was operating in
breach of the Securities Act.

According to Radio Jamaica, the National Commercial and Olint
will appear before Justice Jones next Thursday for the ruling on
whether to extend the injunction again.  Justice Jones will also
rule on whether former Solicitor General and one time Financial
Services Commission Chairperson Michael Hylton should be removed
from the National Commercial's legal team, Radio Jamaica states.

Headquartered in Kingston, Jamaica, the National Commercial Bank
Jamaica Limited  -- http://www.jncb.com/-- provides commercial     
and retail banking, wealth management services.  The company's
services include personal banking, business banking, mortgage
loans, wealth management and insurance services.  Founded in
1977, the bank primarily operates in West Indies and the UK.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
Dec. 18, 2006, Standard & Poor's Rating Services affirmed its
'B/B' counterparty credit and CD ratings on National Commercial
Bank Jamaica Ltd.  S&P said the outlook is stable.

As reported in the Troubled Company Reporter-Latin America on
May 2, 2007, Fitch Ratings affirmed these ratings on Jamaica-
based National Commercial Bank Jamaica Limited: long-term
foreign and local currency Issuer Default at 'B+'; short-term
foreign and local currency rating at 'B'; individual at 'D'; and
support at 4.  The rating outlook on the bank's ratings is
stable, in line with Fitch's view of the sovereign's
creditworthiness.



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

ARROW ELECTRONICS: To Buy Achieva's Components Distribution Biz
---------------------------------------------------------------
Arrow Electronics Inc. has signed a definitive agreement
pursuant to which Arrow will purchase the components
distribution business from parent company Achieva Ltd., a value-
added distributor in Asia Pacific.  Arrow anticipates the
transaction will be immediately accretive to earnings in the
first twelve months by US$0.01 to US$0.03 per share and will
meet the company’s acquisition objectives for return on invested
capital.  The transaction is subject to approval by the
shareholders of Achieva Ltd. and is expected to close in the
next 60 to 90 days.

“Achieva will further strengthen our position in the ASEAN
(Association of Southeast Asian Nations) and greater China
markets and enhance our existing demand creation capabilities,”
said William E. Mitchell, chairman, president and chief
executive officer of Arrow Electronics, Inc.  “With this
acquisition, Arrow will gain strong, established relationships
with major semiconductor suppliers that will expand our line
card as well as build upon existing partnerships.  The Achieva
management team is highly experienced and will be an impressive
addition of bench strength to position Arrow for continued
profitable growth in the Asia Pacific region,” added Mr.
Mitchell.

Achieva is focused on creating value for its partners through
technical support and demand creation activities.  The company’s
product range covers semiconductor components such as
application specific integrated circuits, programmable logic
devices, digital signal processing chips and microchip-
controller units.  With over 200 employees, the company has a
presence in eight countries (Singapore, Taiwan, China, India,
Malaysia, Philippines, Thailand, and Korea) and primarily serves
small and medium sized customers in the data communications,
telecommunications, lighting, industrial and digital consumer
end markets.  Total 2006 sales were approximately US$200
million.

                      About Arrow Electronics

Headquartered in Melville, New York, Arrow Electronics Inc.
-- http://www.arrow.com/-- provides products, services and
solutions to industrial and commercial users of electronic
components and computer products.   Arrow serves as a supply
channel partner for nearly 600 suppliers and more than 130,000
original equipment manufacturers, contract manufacturers and
commercial customers through a global network of over 270
locations in 53 countries and territories.

The company operates in France, Spain, Portugal, Denmark,
Estonia, Finland, Ireland, Latvia, Lithuania, Norway, Sweden,
Italy, Germany, Austria, Switzerland, Belgium, the Netherlands,
United Kingdom, Argentina, Brazil, Mexico, Australia, China,
Hong Kong, Korea, Philippines and Singapore.

                           *     *     *

Arrow Electronics senior subordinated stock continues to carry
Moody's Investors Service's Ba1 rating.  The company's senior
preferred stock is rated at Ba2.


CARDTRONICS INC: Posts US$63.3 Million Net Loss in FY 2007
----------------------------------------------------------
Cardtronics Inc. has incurred a net loss of US$43.4 million for
the three months ended Dec. 31, 2007, compared to US$2.0 million
of net income for the same period in 2006.  For the full year of
2007, the company posted a net loss of US$63.3 million compared
to a net loss of US$796 million in 2006.

A significant factor in comparing Cardtronics' fourth quarter
2007 results with its fourth quarter 2006 results is the
company's acquisition of the financial services business of 7-
Eleven, Inc., the results of which have been included in the
company's consolidated financial statements beginning on
July 20, 2007.

"2007 was a year of major accomplishments for Cardtronics,"
remarked Jack Antonini, President and Chief Executive Officer.  
"In July, we completed our largest acquisition to date,
acquiring the ATM and advanced-functionality business of 7-
Eleven, and in December, we completed the initial public
offering of our common stock.  In addition, we continued to make
substantial progress on a number of our key strategic
initiatives, including the significant expansion of our presence
in both the United Kingdom and Mexico, the signing of bank
branding agreements covering 1,900 of our domestic ATMs, and the
conversion of over 13,000 of our ATMs to our in-house
transaction processing switch."

For the fourth quarter of 2007, revenues totaled US$116.0
million, representing a 55% increase over the US$74.8 million in
revenues recorded during the fourth quarter of 2006.  This year-
over-year increase was primarily attributable to the 7-Eleven
ATM Transaction, which resulted in US$36.1 million of
incremental revenues during the fourth quarter of 2007.

Revenues totaled US$378.3 million for the year ended
Dec. 31, 2007, representing a 29% increase over the US$293.6
million in revenues recorded during 2006.  As was the case with
the company's quarterly results, the year-over-year increase in
revenues was primarily attributable to the acquired financial
services business of 7-Eleven.

Headquartered in Houston, Texas, Cardtronics Inc. --
http://www.cardtronics.com/-- is a non-bank owner/operator of
ATMs with more than 25,750 locations.  The company operates in
every major U.S. market, at approximately 1,700 locations
throughout the U.K., and at over 700 locations in Mexico.

                         *     *     *

On July 2007, Moody's Investors Service assigned a Caa1 rating
to Cardtronics, Inc.'s proposed additional USUS$125 million
"tack-on" high yield subordinated notes, which will be used to
fund the US$135 million acquisition of the assets of financial
services business of 7-Eleven.


CROWN HOLDINGS: Revises Income Tax Valuation Allowance
------------------------------------------------------
Crown Holdings Inc. disclosed in a regulatory filing dated
Feb. 27, 2008, that it is correcting the financial information
accompanying its press release announcing the company's
financial results for the quarter and ended Dec. 31, 2007.  The
corrections, which pertain to revisions to its income tax
valuation allowance, had no impact on the company's cash flows
from operating activities.

The revisions amounted to a reduction in tax benefits of
US$22.0 million of which US$17.0 million reduced net income and
US$5.0 million reduced additional paid in capital within
shareholders' equity.

As reported in the Troubled Company Reporter on Feb. 7, 2008,
Crown Holdings Inc. reported net income from continuing
operations of US$343.0 million for the fourth quarter ended
Dec. 31, 2007, compared to net income from continuing operations
of US$168.0 million in the fourth quarter of 2006.  For 2007,
the company reported net income from continuing operations of
US$545.0 million, compared to net income from continuing
operations of US$342.0 million in 2006.

As a result of the revisions in the company's income tax
valuation allowance, net income for the quarter ended
Dec. 31, 2007, has been adjusted to US$327.0 million, and net
income for 2007 has been adjusted to US$528.0 million.  The
impact of the revision on the company's consolidated balance
sheet are:

                               As originally
                                 reported        As adjusted
                              --------------    --------------
Other non-current assets      US$964,000,000    US$942,000,000
Total assets                   7,001,000,000     6,979,000,000     
Shareholders' equity              37,000,000        15,000,000     
Total Liabilities and
  shareholders' equity         7,001,000,000     6,979,000,000

                    About Crown Holdings Inc.

Based in Philadelphia, Pennsylvania, Crown Holdings Inc. (NYSE:
CCK) -- http://www.crowncork.com/-- through its subsidiaries,  
is a supplier of packaging products to consumer marketing
companies around the world.  In Latin America, the company has
operations in Mexico and Brazil.  The company also maintains
operations in the United Kingdom , France, Canada, and the
Middle East.  In the Asia-Pacific region, the company has an
office in Singapore.  Crown Holdings, Inc., through its
subsidiaries, is a leading supplier of packaging products to
consumer marketing companies around the world.

                          *     *     *

As reported in the Troubled Company Reporter on Feb. 8, 2008,
Standard & Poor's Ratings Services revised its outlook on Crown
Holdings Inc. to positive from stable and affirmed the 'BB-'
corporate credit and other existing ratings.  


EMPRESAS ICA: Incurs MXN1,170 Mln Net Loss in Qtr. Ended Dec. 31
----------------------------------------------------------------
Empresas ICA S.A.B. de C.V. posted a net loss of
MXN1,435 million for the three months ended Dec. 31, 2007,
compared to net income of MXN367 million for the same period in
2006.  For the full year of 2007, the company incurred a net
loss of MXN$804 million compared to net income of MXN1,072
million in 2006.

During the fourth quarter, revenues and costs each increased 8%.
However, general and administrative expenses increased at a
faster rate, principally as a result of the hiring of new staff
and payment for services related to the expansion of Housing and
Infrastructure as well as start-up expenses for recently awarded
projects that are not yet generating significant revenue.

Backlog as of Dec. 31, 2007, reached MXN29,155 million,
equivalent to 17 months construction work at fourth quarter
levels.

The results for the fourth quarter were also affected by the
Mexican government’s tax reform, which included the enactment of
a new corporate flat rate tax.  In accordance with Mexican
Financial Information Norms (Mexican NIF), ICA reviewed and
evaluated its tax-related asset and liability balances as of
year-end 2007 for the effect of the tax law changes.  The
company recognized the estimated effect that the tax changes
will have on its future financial statements over the next 50
years.  As a result, non-cash provisions were taken totaling a
net MXN1,536 million.  The tax charges are primarily related to
our airport operating subsidiary, OMA. The overall provision for
taxes in Fourth Quarter 2007 was MXN1,748 million.

Despite volatile conditions of the financial markets, ICA was
able to close a total of Ps. 4,482 million in financings during
the quarter.  These include:

   -- long term financings for the Queretaro-Irapuato highway
      PPP, the Aqueduct II in Queretaro, and the Naval
      Specialties Hospital;

   -- a bridge loan to finance the startup of construction of
      the La Yesca hydroelectric project; and

   -- working capital loans for the Faros de Panama and
      Esmeralda Resort projects.

Revenues were MXN6,753 million, an increase of 8%.  The increase
in revenues was principally due to increases in Industrial
Construction, Rodio, Infrastructure, and Housing revenues.  This
was partially offset by a decrease in Civil Construction
revenues, since the new projects awarded in this segment are not
yet contributing significantly to revenues.  Revenues generated
in Mexico represented 86% of the total.  Revenues denominated in
foreign currency, both dollars and other currencies, were 34% of
the total.

Cost of sales was MXN5,812 million, as compared to MXN5,371
million in 4Q06.  Cost of sales was 86% of revenues in the both
periods.

Total assets as of Dec. 31, 2007 decreased by MXN1,691 million,
total liabilities fell MXN5,783 million, and capital increased
by MXN4,092 million, as compared to Dec. 31, 2006.

Total debt  decreased MXN6,342 million to MXN7,705 million as of
Dec. 31, 2007, as compared to MXN14,047 million one year
earlier.  The decrease is a result of payment of 100% of the
debt related to El Cajon Hydroelectric Project, which was
partially offset by the incurrence of new financings during the
quarter.

Net debt decreased to MXN834 million, compared to MXN8,722
million at the close of 4Q06, as a result of the payment of the
debt related to El Cajon Hydroelectric Project and the increase
in cash and cash equivalents from the capital increase in
September 2007.

As of Dec. 31, 2007, 22% of ICA’s total debt matures in less
than one year.  Debt denominated in foreign currency,
principally dollars, is 34% of total debt, and 61% is securities
debt.

Based on source of repayment, all debt was project debt.  ICA
had no parent company debt outstanding at Dec. 31, 2007.   

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

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

As reported in the Troubled Company Reporter-Latin America on
Sept. 20, 2007, Standard & Poor's Ratings Services affirmed its
'BB-' long-term corporate credit rating on Empresas ICA S.A.B.
de C.V.  S&P said the outlook is stable.


ENERSYS INC: Holders Agree to Sell 5MM Shares to Goldman Sachs
--------------------------------------------------------------
EnerSys Inc. disclosed that certain of its stockholders,
including affiliates of Metalmark Capital LLC and certain other
institutional stockholders, have agreed to sell 5,000,000 shares
of its common stock to Goldman Sachs & Co.  

All net proceeds from the sale of the common stock will be
received by the selling stockholders.  EnerSys will not receive
any of the proceeds.

The shares are being sold by the selling stockholders in an
at-the-market offering pursuant to an effective shelf
registration statement.

The copy of the prospectus relating to these securities may be
obtained, when available, from:

     Goldman Sachs & Co.
     Attn: Prospectus Dept.
     85 Broad Street
     New York, NY 10004
     Fax (212) 902-9316
     Email prospectus-ny@ny.email.gs.com

For more information, contact:

     Richard Zuidema
     Executive Vice President, EnerSys
     P.O. Box 14145
     Reading, PA 19612-4145
     Tel (800) 538-3627

                         About EnerSys Inc.

Headquartered in Reading, Pennsylvania, EnerSys Inc. (NYSE: ENS)
-- http://www.enersys.com/-- manufactures industrial battery
through 21 manufacturing and assembly facilities worldwide.  The
company provides expertise in designing, building, installing
and maintaining a comprehensive stored energy solution for
industrial applications throughout the world.  The company's
products and services are focused on two primary markets: Motive
Power (North & South America) or (Europe) and Reserve Power
(Worldwide), (Aerospace & Defense) or (Speciality Batteries).  
The company's facilities are located at China, France, Mexico,
Germany, and the United Kingdom, among others.

                          *     *     *

Standard & Poor's Ratings Services placed EnerSys Inc.' long
term foreign and local issuer credit ratings at 'BB' in August
2004.  The ratings still hold to date with a stable outlook.



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

CORDIA CORP: Says LatAm Will be 10% of Revenues by Year-End
-----------------------------------------------------------
Cordia Corp.'s President Kevin Griffo told Business News
Americas that the firm expects revenues from Latin America to be
10% of global revenues by year-end, compared to the current 2%.

Latin America contributes with 25% of Cordia's Voice Over
Internet Protocol services revenues, BNamericas says, citing Mr.
Griffo.

Mr. Griffo told BNamericas that Cordia expects to see high
growth of its Latin American operations, especially in:

          -- Mexico,
          -- Brazil,
          -- Argentina,
          -- Chile, and
          -- Peru.

Cordia has about 2,000 clients across Latin America.  The
company will have 20,000 clients by year-end, BNamericas notes,
citing Mr. Griffo.

Mr. Griffo said in a statement, "During 2008, we will be further
expanding our efforts in Latin America through the use of third
party telemarketing companies in order to expedite our growth in
this region."

Headquartered in Florida, USA, Cordia Corp. --
http://www.cordiacorp.com/-- is a global communications  
provider of traditional wireline and Voice over Internet
Protocol technologies.  The company's services include:

    * Bundled Local, Long distance, International, and Toll-Free  
      Calling Services (www.cordia.us)
    * Voice over IP (www.cordiaip.com)
    * Shared and Dedicated DSL (www.cordia.us)
    * International Phone Numbers - Magellan
      (www.magnumbers.com)
    * Wholesale and Agent offerings (Contact us)

                     Going Concern Doubt

Cordia Corp. incurred a net loss of approximately US$303,800 for
the three month period ended Sept. 30, 2007.  It has a negative
working capital of approximately US$7,346,000 and a deficiency
in stockholders’ equity of approximately US$1,989,000 as of
Sept. 30, 2007.  These conditions raise substantial doubt about
the company’s ability to continue as a going concern.  The
company recognized the need for additional working capital to
strengthen its financial position, maintain growth, and continue
to carry out its plans for its international expansion of Voice
over Internet protocol and related value added services.  



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

ELECTRONIC DATA: M. Blackburn Replaces M. Koehler as EMEA Head
--------------------------------------------------------------
Electonic Data Systems Corp. has appointed Martin Blackburn to
the position of vice president and general manager, of the
company's Europe, Middle East and Africa (EMEA) Operations.  He
will report directly to Bill Thomas, executive vice president
for EMEA, effective April 1, 2008.

Mr. Blackburn will assume responsibility for the EMEA
operations, including the management of delivery to all clients
in the region, strategy and financial performance.  Mr.
Blackburn is replacing Mike Koehler, who will assume the
position of Electonic Data's executive vice president of Global
ITO Services.

Mr. Blackburn brings extensive knowledge and experience in
leading the operations function of major outsourcing
organisations.  Previously, he served as Chief Executive, Global
Service Delivery Logica -- a division which comprises 10,000
staff across 18 countries.  He was responsible for all business
process outsourcing, IT outsourcing, applications management and
offshore service delivery within the Logica Group.  Mr.
Blackburn re-established growth for the company -- building an
impressive client portfolio, formulating the company's off-shore
strategy and personally spearheading the change programme
underpinning the company's transformation.

"Martin brings to EDS unique experience and insight which will
be instrumental in ensuring we continue to deliver a high
quality, consistent service across our client base," said Mr.
Thomas.  "In particular, Martin's recent success building a
thriving global delivery model, offering clients the right blend
of offshore, nearshore and onshore locations, is particularly
complementary to EDS' Best Shore strategy."

Mr. Blackburn holds an BSc (Hons) Mathematics and Information
Systems.  He is also a Member of the British Computer Society,
the Institute of Electrical and Electronics Engineers, and the
Institute of Mathematics.

                  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.


NUTRITIONAL SOURCING: Court Approves Sale Bidding Procedure
-----------------------------------------------------------
The United States Bankruptcy Court for the District of Delaware
approved Nutritional Sourcing Corporation and its debtor-
affiliates' proposed bidding procedure for the sale of their
Pueblo's De Diego assets, subject to better and higher offers.

As reported in the Troubled Company Reporter on Feb. 12, 2008,
under the terms and conditions of an asset purchase agreement
dated Feb. 7, 2008, Empresas A. Cordero Badillo Inc., the
stalking horse bidder, agreed to purchase the Debtors' asset for
US$26.5 million.  Empresas has deposited US$1,325,000 as
required in the agreement.

The Debtors have agreed to pay Empresas up to US$900,000 in
termination fee, which is comprised of (i) a US$750,000 break-up
fee, and (ii) US$150,000 reimbursement of expenses.

                         Sale Protocol

Interested qualified bidders must submit at least US$27,550,000,
which includes a termination fee and a US$150,000 incremental
bid, by April 23, 2008, the proposed bid deadline.

The proposed sale allows all potential bidders to participate
until April 18, 2008.

If one or more qualified bids are received, a public auction
will be conducted by the Debtors on April 30, 2008, at
10:00 a.m., at the offices of Kaye Scholer LLP, 425 Park Avenue
in New York and, at the auction, qualified bidders are allowed
to increase their bids by US$100,000.

If the assets are sold to another bidder, the sale procedure
will provide a termination fee consist of (i) US$750,000 break-
up fee and US$150,000 reimbursement of expenses.  The total
termination fee constitutes 3.4% of the purchase price.

                    About Nutritional Sourcing

Based in Pompano, Florida, Nutritional Sourcing Corp., fdba
Pueblo Xtra International, Inc. -- http://www.puebloxtra.com/--  
owns and operates supermarkets and video rental shops in Puerto
Rico and the US Virgin Islands.  The company and two affiliates,
Pueblo International, L.L.C., and F.L.B.N., L.L.C., filed for
chapter 11 protection on Aug. 3, 2007 (Bankr. D. Del. Case Nos.
07-11038 through 07-11040).  Kay Scholer LLC represents the
Debtors in their restructuring efforts.  Pepper Hamilton LLP
serves as their Delaware counsel.  Skadden, Arps, Slate, Meagher
& Flom LLP represent the Official Committee of Unsecured
Creditors.  

The bankruptcy court has extended Nutritional Sourcing Corp.'s
exclusive period to file a chapter 11 plan until March 3, 2008.

The company has disclosed US$130.8 million in assets and debt
totaling US$266.5 million with the Court.


NUTRITIONAL SOURCING: Exclusive Plan Filing Period Extended
-----------------------------------------------------------
The United States Bankruptcy Court for the District of Delaware
further extended Nutritional Sourcing Corporation and its
debtor-affiliates' exclusive periods to:

   a) file a Chapter 11 plan until May 2, 2008; and

   b) solicit acceptances of a plan until July 7, 2008.

As reported in the Troubled Company Reporter on Feb. 12, 2008,
the Debtors told the Court that they need sufficient time to
negotiate a plan with their creditors because they still have
significant tasks that they have to complete, including, the
sale of more assets and review of potential claims.

James C. Carigan, Esq., at Pepper Hamilton LLP in Wilmington,
Delaware, said the Debtors are currently seeking Court approval
for the sale of certain property and unimproved real estate to a
certain stalking horse bidder for US$26.5 million.

Mr. Carigan said the Debtors are conducting a sale process with
other bidders and anticipate to close the deal on or before
June 1, 2008.

                    About Nutritional Sourcing

Based in Pompano, Florida, Nutritional Sourcing Corp., fdba
Pueblo Xtra International, Inc. -- http://www.puebloxtra.com/--  
owns and operates supermarkets and video rental shops in Puerto
Rico and the US Virgin Islands.  The company and two affiliates,
Pueblo International, L.L.C., and F.L.B.N., L.L.C., filed for
chapter 11 protection on Aug. 3, 2007 (Bankr. D. Del. Case Nos.
07-11038 through 07-11040).  Kay Scholer LLC represents the
Debtors in their restructuring efforts.  Pepper Hamilton LLP
serves as their Delaware counsel.  Skadden, Arps, Slate, Meagher
& Flom LLP represent the Official Committee of Unsecured
Creditors.  

The bankruptcy court has extended Nutritional Sourcing Corp.'s
exclusive period to file a chapter 11 plan until March 3, 2008.

The company has disclosed US$130.8 million in assets and debt
totaling US$266.5 million with the Court.


PEP BOYS: Paying US$0.0675 Per Share Dividend Due on April 28
-------------------------------------------------------------
The Pep Boys – Manny, Moe & Jack's Board of Directors approved
the payment of the next quarterly dividend of US$0.0675 per
share payable on April 28, 2008 to shareholders of record on
April 14, 2008.  The annual dividend of US$0.27 per share
currently yields approximately 2.3%.

                       About Pep Boys

Headquartered in Philadelphia, The Pep Boys - Manny, Moe & Jack
(NYSE: PBY) -- http://pepboys.com/-- has over 560 stores and
approximately 6,000 service bays in 35 states and Puerto Rico.
Along with its vehicle repair and maintenance capabilities, the
company also serves the commercial auto parts delivery market
and is one of the leading sellers of replacement tires in the
United States.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
Jan. 22, 2008, Moody's Investors Service has placed these
ratings of Pep Boys Manny Moe & Jack under review for possible
downgrade: Corporate family rating at B1; Probability of default
rating at B1; US$155 million senior secured term loan due 2013
at Ba3; and sUS$200 million senior subordinated notes due 2014
at B3.


SEARS HOLDINGS: Restoration Deems Merger Proposal Inferior
----------------------------------------------------------
Restoration Hardware Inc. said that despite numerous efforts to
engage with Sears Holdings Corp. during the "go-shop" process,
Sears Holdings did not submit a proposal until the final day.

As reported in the Troubled Company Reporter on Dec. 12, 2007,
Sears Holdings and Restoration Hardware entered into a
confidentiality agreement, in connection with the possible
business combination transaction.

During the "go-shop" period, conducted by its committee of
independent directors, Restoration Hardware was permitted to
initiate, solicit and encourage alternative proposals until
Feb. 28, 2008.  Restoration Hardware received offers from Sears
Holdings and Catterton Partners.

           No Qualified Excluded Party in Catterton Deal

Restoration Hardware disclosed that the independent committee
has unanimously determined that no party has qualified as an
excluded party under the terms of the agreement and plan of
merger with certain affiliates of Catterton Partners.

After several discussions with representatives of Sears Holdings
concerning the terms of the proposal, the independent committee
determined that the current Sears Holdings proposal was not
reasonably likely to result in a superior proposal under the
terms of the agreement and plan of merger.  The independent
committee found out that the Sears proposal was subject to
significant uncertainties compared to the agreement and plan of
merger.

With the expiration of the "go-shop" period, Restoration
Hardware said that it is continuing to work with Catterton
Partners to complete the merger in a timely manner, subject to
satisfaction of the conditions in the agreement and plan of
merger.

              Confidentiality Pact with Restoration

Under the terms of the confidentiality agreement, Restoration
Hardware is required to disclose:

   (i) all oral and written communications that contain
       information concerning Restoration Hardware, any of its
       subsidiaries or affiliates or the transaction, together
       with asset lists, financial statements or other
       materials or information;

  (ii) the proposed terms and conditions of the transaction,
       including any financial terms and conditions, and all
       information related to the transaction, including the
       status; and

(iii) the existence, context, and scope of the agreement.

Sears Holdings and Restoration Hardware agree that, all
information will be kept confidential, including any information
about the terms or conditions or any other facts relating to a
possible transaction between Sears Holdings and Restoration
Hardware.

All information provided by the Restoration Hardware is entitled
to protection under the attorney-client privilege, work product
doctrine or other applicable privilege.

If either the Sears Holdings and Restoration Hardware determines
that it does not wish to proceed with the transaction, the party
will promptly advise the other party of that decision.  In that
case, or if a transaction is not otherwise consummated, Sears
Holdings will promptly destroy or return to Restoration Hardware
all copies of the information.

Moreover, under the terms of the agreement, Sears Holdings will
commence a tender offer for all the voting securities of
Restoration Hardware at a cash price per share that is at least
US$0.05 per share more than the cash price per share to be paid
to stockholders of Restoration Hardware.

                    About Restoration Hardware

Corte Madera, California-based Restoration Hardware Inc.
(Nasdaq: RSTO) -- http://www.restorationhardware.com/-- is a  
specialty retailer of home furnishings, bath fixtures and
bathware, functional and decorative hardware, gifts and related
merchandise that reflects the company's classic and authentic
American point of view. Restoration Hardware sells its
merchandise offering through its retail stores, catalog (800-
762-1005) and on-line at its Web site.   The company currently
operates 102 retail stores and nine outlet stores in 30 states,
the District of Columbia and Canada.

                 About Sears Holdings Corporation

Based in Hoffman Estates, Illinois, Sears Holdings Corporation
(NASDAQ: SHLD) -- http://www.searsholdings.com/-- parent of  
Kmart and Sears, Roebuck and Co., is a broadline retailer with
approximately 3,800 full-line and specialty retail stores in the
United States, Canada and Puerto Rico.  Key proprietary brands
include Kenmore, Craftsman and DieHard, and a broad apparel
offering, including such well-known labels as Lands' End, Jaclyn
Smith and Joe Boxer, as well as the Apostrophe and Covington
brands.  It also has Martha Stewart Everyday products, which are
offered exclusively in the U.S. by Kmart and in Canada by Sears
Canada.

                          *     *     *

Moody's Investor Service placed Sears Holdings Corporation's
probability of default rating at 'Ba1' in September 2006.  The
rating still hold to date with a stable outlook.



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

PERNOD RICARD: Net Sales Up 5.9% in 2007/2008 First Half
--------------------------------------------------------
Pernod Ricard S.A. recorded historic sales growth and
accelerated profitability growth for the 2007/2008 first half
year (July 1 to Dec. 31, 2007).  These performances were
achieved thanks to the success of its 15 strategic brands, in
particular in emerging markets, as well as to the dynamic sales
in mature markets.  Volume growth, significant price increases
and a markedly improved mix resulted in a very substantial rise
in operating profit from ordinary activities, in spite of
significantly increased advertising and promotion expenditure.

                   2007/2008 Interim Sales

Pernod Ricard consolidated net sales (excluding duties and
taxes) for the 2007/2008 first half-year increased by 5.9% to
EUR3.7 billion, being 10.1% organic growth (2.5% negative
foreign exchange effect, 1.5% negative group structure effect).

The 15 strategic brands were the main drivers of this growth.  
They grew +7% in volume and +13% in value(1), thereby
demonstrating the very positive impact of price increases and
mix effects.  In particular, premium(3) spirits grew +17%(1).

All geographic regions contributed to consolidated sales growth,
with an accelerated contribution from emerging countries
(+25%(1)).  China, India and Russia were, in that order, the
leading three contributors to the sales growth.

            Improved Contribution Margin from Portfolio

Gross margin after logistics costs increased by +12.8%(1) to
EUR2.1 billion, due to sales growth and a very significant
improvement in gross margin ratio, which rose from 56% to 58% on
sales, on a constant foreign exchange basis.  This resulted from
the larger relative size of premium and Top 15 brands and from
the implementation of the value strategy throughout the whole
portfolio.

This performance enabled the Group to accelerate advertising and
promotion expenditure growth by +14.8%(1) to EUR623 million,
which was primarily focused on premium brands and emerging
countries.  The Top 15 benefited notably from 80% of such
expenditure growth in the 2007/2008 first half year.

Overall, the contribution after advertising and promotion
expenditure grew +12%(1) to EUR1.5 billion, and represented
40.5% of sales, an increase of 110 bp on a constant foreign
exchange basis compared to the previous financial year.

          Decrease in Structure Costs/Sales ratio

Structure costs increased by 6.5%(1) to EUR538 million.  This
growth was focused on emerging countries, in particular China,
Russia and India.  Strong sales growth enabled a further
reduction in the structure costs/sales ratio to 14.5%, a
decrease of 30 bp on a constant foreign exchange basis compared
to the previous financial year, in line with Group targets.

               Operating Profit from Ordinary Activities

Operating profit from ordinary activities increased by 15.3%(1)
to EUR966 million, along with a 26% operating profit margin, an
improvement of 140 bp compared to the previous financial year,
on a constant foreign exchange basis.

All geographic regions reported double-digit organic growth in
operating profit from ordinary activities:
    
    * Particularly dynamic growth in Asia/Rest of World and
      Europe.  The spectacular development of these two regions
      was notably due to the significant growth of premium
      brands in emerging markets.

    * In France, growth was accelerated by well-controlled
      structure costs and advertising and promotion expenditure.
    
    * The foreign exchange and group structure effects
      primarily concerned the Americas region, whose relative
      size in the Group's sales and profits decreased, in spite
      of organic growth similar to other regions.

Negative currency fluctuations (primarily US$ and currencies
tied to the US$) reduced the growth of operating profit from
ordinary activities by EUR49 million in the first half year.

            Net profit from Ordinary Activities

Financial expense from ordinary activities totaled EUR176
million, comprising EUR168 million of debt finance charges
(average borrowing cost of about 5%, stable compared to the
previous financial year), the structuring costs for the funding
arrangements for EUR6 million, as well as EUR2 million in other
expenses.

The tax charge on ordinary activities was EUR183 million,
representing an average rate of 23.1%, slightly down from the
previous financial year (23.9%).  Finally, the share of minority
interests in net profit from ordinary activities was stable at
EUR13 million.

Overall, net profit from ordinary activities Group share totaled
EUR594 million, being a 18.6% increase on a constant foreign
exchange basis compared to the first half of 2006/2007, and
diluted earnings per share from ordinary activities was
EUR 2.76, being an increase of 18.1% on a constant foreign
exchange basis.

                          Net Profit

Other operating income/(expense) was a EUR5 million income while
non-current financial items mainly related to exchange losses
comprised a charge of EUR9 million.  The tax charge in respect
of the non-current result amounted to EUR2 million.

As a result, net profit (Group share) totaled EUR588 million, a
17.7% increase compared to the 2006/2007 financial year.

                             Debt

Net debt at December 31, 2007 amounted to EUR6.6 billion, stable
compared to June 30, 2007 (EUR6.5 billion).  In the first half
year, the debt was, as expected, impacted by the cognac
restocking program, the rise in trade receivables due to higher
sales at the end of the year in 2007 and the payment of cash
dividends.

This resulted in an improved Net Debt (excluding treasury
shares)/EBITDA ratio of 3.8 compared to 3.9 at June 30, 2007.  

                   Conclusion and Outlook

"The first half of our 2007/2008 year was exceptional both in
terms of the strength of sales and the growth in margins.  The
increase in profit was such that we decided to accelerate the
growth in advertising and marketing expenditure, thus
strengthening our growth prospects.  This enables us to revise
upwards, once again, our 2007/2008 full year guidance and to aim
at a growth in operating profit from ordinary activities of at
least 12%(4) on a like-for-like basis (foreign exchange and
group structure)," Patrick Ricard, chairman and CEO of the
Group, stated.

    (1) Organic growth

    (2) GNP/capita < USD 10,000

    (3) Spirits with a price positioning higher or equal to that
        of Chivas Regal 12 year old or Martell VS, champagne and
        wines > US$10 per bottle
    
    (4) Versus about 12%

                      About Pernod Ricard

Headquartered in Paris, France, Pernod Ricard --
http://www.pernod-ricard.com/-- produces and distributes
spirits and wines.  The Company operates in Europe, North
America, and the Asia-Pacific region.  In Latin America and
South America, the company operates in Argentina, Brazil, Chile,
Colombia, Mexico, Uruguay and Venezuela.

                          *   *   *

Pernod Ricard carries Standard & Poor's BB+ ratings on its
5.245% floating rate notes and 4-5/8% unsubordinated notes.



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

DELTA AIR: Pilots Union Poses Threat to Northwest Tie-Up
--------------------------------------------------------
Amid spurring merger talks between Delta Air Lines Inc., and
Northwest Airlines Corp., "an impasse over seniority involving
the pilots unions has jeopardized a probable deal", The
Associated Press reports.

Pilot negotiators at Delta and Northwest have agreed on a
US$2,000,000,000 package that would include higher pay, an
equity stake in the combined airline and a board seat, Bloomberg
News says, citing people familiar with the talks.

The Atlanta-Journal Constitution says that the pilots unions  
have agreed on a comprehensive joint contract which contemplates
about 7% equity stake in the combined companies.   Northwest
pilots will get about 30% pay raise, while Delta's higher-paid
pilots would get a modest pay hike.

The pilots remain divided on seniority, however, which
determines their compensation, work schedules, aircraft and
routes, reports say.

Seniority determines most aspects of a pilots' career, including
size of paycheck, likely lay-offs and vacations, the best routes
and the bigger planes that pilots get paid more for flying.

According to the Minneapolis-Star Tribune, a Delta pilot briefed
on the talks said Northwest's negotiators insisted on "fences"
to reserve some of the highest-paying jobs flying its big Boeing
747s for its members.  Meanwhile, a person close to the talks
said that a small group of Northwest pilot negotiators want
young Delta pilots placed at the bottom of the combined
seniority list, according to reports by AP.

In an official statement, Northwest pilots union spokesperson
Greg Rizzuto noted that a pilot's career is tied to seniority
ranking, and that "the labor group is united, and all it wants
is what's fair."

Northwest Airlines pilots are continuing to look for a solution
to the stalled talks with Delta pilots, and they're "not under a
deadline" to make a deal, a person with knowledge of the
situation said, says the AP.

Provided that the pilot union talks make progress, the Delta-
Northwest consolidation announcement "remains on hold", the AP
says, quoting an unnamed source.

Delta executives told employees in an internal memo dated
Feb. 26 that no "potential transaction meets all our
principles," The Wall Street Journal reports.

The memo cited priority terms in the event of any merger,
including seniority protection for all Delta employees and
keeping the airline's headquarter in Atlanta.  It emphasized
that the airline will continue to focus on its "stand-alone
plan" until all "these conditions are met."

Signed by Richard Anderson, Delta's chief executive, and Ed
Bastian, the airline's president and chief financial officer,
the memo also tackled an impasse between Delta and Northwest on
a common seniority list for the pilots of a combined airline,
says WSJ.

Delta and Northwest pilots have not met for a week, but
according to one person familiar with the talks who requested
anonymity, there's no indication the carriers won't keep trying,
the AP reports.

As the talks drag on, the International Association of
Machinists and Aerospace Workers said it is joining the
Coalition for An Airline Passengers Bill of Rights to lobby
against a wave of airline megamergers that could be kicked off
by the Delta-Northwest tie-up, the Atlanta-Journal Constitution
says.

"Employees and passengers are the two groups essential to an
airline's success, yet they are the ones that are hurt most in
mergers.  Airlines must work with employees and cater to
passengers if they expect to succeed," the union's general vice
president Roach Jr., said in a statement.

Kate Hanni, executive director of the coalition, told the
Houston Chronicle that combining two major airlines with diverse
corporate cultures "is a recipe for disaster."

The machinists union represents baggage handlers, ticket agents
and other employees at Northwest, United Air Lines and
Continental Airlines.

                   About Northwest Airlines

Northwest Airlines Corp. (NYSE: NWA) -- http://www.nwa.com/--    
is the world's fourth largest airline with hubs at Detroit,
Minneapolis/St. Paul, Memphis, Tokyo and Amsterdam, and about
1,400 daily departures.  Northwest is a member of SkyTeam, an
airline alliance that offers customers one of the world's most
extensive global networks.  Northwest and its travel partners
serve more than 1000 cities in excess of 160 countries on six
continents.  Northwest and its travel partners serve more than
1000 cities in excess of 160 countries on six continents,
including Italy, Spain, Japan, China, Venezuela and Argentina.

The company and 12 affiliates filed for chapter 11 protection on
Sept. 14, 2005 (Bankr. S.D.N.Y. Lead Case No. 05-17930).  Bruce
R. Zirinsky, Esq., and Gregory M. Petrick, Esq., at Cadwalader,
Wickersham & Taft LLP in New York, and Mark C. Ellenberg, Esq.,
at Cadwalader, Wickersham & Taft LLP in Washington represent the
Debtors in their restructuring efforts.  The Official Committee
of Unsecured Creditors has retained Akin Gump Strauss Hauer &
Feld LLP as its bankruptcy counsel in the Debtors' chapter 11
cases.

When the Debtors filed for bankruptcy, they listed US$14.4
billion in total assets and US$17.9 billion in total debts.  On
Jan. 12, 2007, the Debtors filed with the Court their Chapter 11
Plan.  On Feb. 15, 2007, they Debtors filed an Amended Plan &
Disclosure Statement.  The Court approved the adequacy of the
Debtors' Disclosure Statement on March 26, 2007.  On
May 21, 2007, the Court confirmed the Debtors' Plan.  The Plan
took effect May 31, 2007.  (Northwest Bankruptcy News;
Bankruptcy Creditors' Service Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)

                         About Delta Air

Based in Atlanta, Georgia, Delta Air Lines Inc. (NYSE:DAL) --
http://www.delta.com/-- is the world's second-largest airline
in terms of passengers carried and the leading U.S. carrier
across the Atlantic, offering daily flights to 328 destinations
in 56 countries on Delta, Song, Delta Shuttle, the Delta
Connection carriers and its worldwide partners.  Delta flies to
Argentina, Australia and the United Kingdom, among others.

The company and 18 affiliates filed for chapter 11 protection on
Sept. 14, 2005 (Bankr. S.D.N.Y. Lead Case No. 05-17923).
Marshall S. Huebner, Esq., at Davis Polk & Wardwell, represents
the Debtors in their restructuring efforts.  Timothy R. Coleman
at The Blackstone Group L.P. provides the Debtors with financial
advice.  Daniel H. Golden, Esq., and Lisa G. Beckerman, Esq., at
Akin Gump Strauss Hauer & Feld LLP, provide the Official
Committee of Unsecured Creditors with legal advice.  John
McKenna, Jr., at Houlihan Lokey Howard & Zukin Capital and James
S. Feltman at Mesirow Financial Consulting, LLC, serve as the
Committee's financial advisors.

The Debtors filed a chapter 11 plan of reorganization and
disclosure statement explaining that plan on Dec. 19, 2007.  On
Jan. 19, 2007, they filed revisions to the plan and disclosure
statement, and submitted further revisions to the plan on
Feb. 2, 2007.  On Feb. 7, 2007, the Court approved the Debtors'
disclosure statement.  In April 25, 2007, the Court confirmed
the Debtors' plan.  That plan became effective on
April 30, 2007.  The Court entered a final decree closing 17
cases on Sept. 26, 2007.  (Delta Air Lines Bankruptcy News,
Issue No. 91; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)

                          *     *     *

As reported in the Troubled Company Reporter-Latin America on
Jan. 18, 2008, Standard and Poor's said that media reports that
Delta Air Lines Inc. (B/Positive/--) entered into merger talks
with UAL Corp. (B/Stable/--) and Northwest Airlines Corp.
(B+/Stable/--) will have no effect on the ratings or outlook on
Delta, but that confirmed merger negotiations would result in
S&P's placing ratings of Delta and other airlines involved on
CreditWatch, most likely with developing or negative
implications.


PETROLEOS DE VENEZUELA: Inks New Agreement with Eni
---------------------------------------------------
Petroleos de Venezuela SA has signed a new accord with Italian
oil firm Eni.

Italian state news agency AGI relates that Petroleos de
Venezuela and Eni will invest US$10 billion in a joint venture
to conduct exploration and production activities in the Orinoco
heavy crude belt.

According to Business News Americas, Petroleos de Venezuela said
last month that it had agreed to pay Eni some US$700 million for
surrendering its Dacion operations to the state.

Eni now has a 26% stake in the Petrosucre JV, which operates the
Corocoro field offshore Venezuela in the Gulf of Paria.

Eni has a 19.5% stake in Petrolera Guiria JV, which operates the
Punta Sur area in the Gulf of Paria and a 50% stake in the
Cardon IV gas exploration license in the Gulf of Venezuela,
BNamericas 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.

PDVSA is one of the top exporters of oil to the US with proven
reserves of 77.2 billion barrels of oil -- the most outside the
Middle East -- and about 150 trillion cu. ft. of natural gas.

PDVSA's exploration and production take place in Venezuela, but
the company also has refining and marketing operations in the
Caribbean, Europe, and the US.

                          *     *     *

As of Feb. 14, 2008, Fitch Ratings held Petroleos de Venezuela
SA's long-term issuer default rating and local currency long
term issuer default rating at BB-.  Fitch said the ratings
outlook was negative.


PETROLEOS DE VENEZUELA: Has No Assets in UK, Says Gordon Pollock
----------------------------------------------------------------
Petroleos de Venezuela SA's lead lawyer Gordon Pollock told
reporters that the company has no assets in the U.K.

Natalie Obiko Pearson at Dow Jones Newswires relates that
Petroleos de Venezuela argued to a U.K. court last Thursday that
an injunction obtained by Exxon Mobil Corp. to freeze up to
US$12 billion of its assets was unjustified and should be
repealed.

Petroleos de Venezuela's attorneys claimed that the London
court's asset freeze order had been beyond its jurisdiction and
is unwarranted, Dow Jones says.

Mr. Pollock told Dow Jones that the case had "no relevant
connection to the English court" because Petroleos de Venezuela
and Exxon Mobil are not English firms with considerable assets
there.  

According to Dow Jones, Mr. Pollock described the London court's
involvement in the case as "inappropriate" and an example of
"exorbitant jurisdiction."

As reported in the Troubled Company Reporter-Latin America on
Feb. 29, 2008, John Fordham, Petroleos de Venezuela's legal
representative and head of commercial litigation at law firm
Stephenson Harwood, said that a U.K. court may rule on the
freeze order on the company's assets this week.  Petroleos de
Venezuela had asked the London High Court to revoke an
injunction freezing the company's US$12 billion assets.

Petroleos de Venezuela is barred from taking or disposing of up
to US$12 billion in petroleum assets worldwide after courts in
Britain and the U.S. ordered freezing of those assets.  The
asset-freeze order against Petroleos de Venezuela was made so
that Exxon Mobil would be able to extract compensation should it
win arbitration it has sought over the fields.  Mr. Fordham said
that Petroleos de Venezuela appealed the asset-freeze order.  

Mr. Pollock told Dow Jones that the asset freeze is ordinarily
issued in cases of fraud.

Petroleos de Venezuela shouldn't be held directly responsible
for moves by the Venezuelan government, as the legal dispute
with Exxon Mobil was "not the result of a breach" in contract by
the Venezuelan company, but had arisen as a consequence of
"actions taken by a third party, the government of Venezuela,"
Dow Jones says, citing Mr. Pollock.

The court hearing will continue this week, Dow Jones 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.

PDVSA is one of the top exporters of oil to the US with proven
reserves of 77.2 billion barrels of oil -- the most outside the
Middle East -- and about 150 trillion cu. ft. of natural gas.

PDVSA's exploration and production take place in Venezuela, but
the company also has refining and marketing operations in the
Caribbean, Europe, and the US.

                           *     *     *

To date, Petroleos de Venezuela SA carries Fitch's BB- long term
issuer default rating and local currency long term issuer
default rating.  Fitch said the ratings outlook was negative.



===========
X X X X X X
===========

* Global Economy Will Withstand U.S. Downturn, S&P's Report Says
----------------------------------------------------------------
Standard & Poor's Ratings Services has published its global
economic outlooks on developed and emerging markets, and stated
that the global economy will weather the United States downturn
in 2008.
      
"Simply put, the current U.S. downturn is less critical than it
would have been a decade ago," said S&P's senior economist Beth
Ann Bovino in the article titled, "Why The Global Economy Should
Be Able To Endure The U.S. Slowdown."  The rise of Asia and an
improving picture elsewhere have reduced overall dependence on
the U.S. as the leader for global growth.   
   
"Even if the U.S. slips into a recession, industrialized and
emerging countries will likely keep growing in 2008, though most
will do so more slowly," Ms. Bovino added.  The best news
continues to come from emerging markets, which are still
expanding at a solid pace despite the significant weakness in
the U.S. and the financial market turmoil.

The other articles included in the economic special report are:

    -- "U.S. Economic Forecast: But The Giants Won"

    -- "Can Europe Withstand A U.S. Recession?"

    -- "Increased Global Economic Uncertainty In 2008 Will Slow,
        But Won't Stop Growth In Latin America"

    -- "Domestic Factors Will Rein In India's Economic Growth In
        2008"

    -- "For China's Economy In 2008, Half-Steam Ahead Is Still
       Plenty Quick"

    -- "ASEAN-4 Economies Show Strong Growth Despite Sinking
       U.S. Demand"

    -- "Australia?s Economy: Time For A Cool Change "

    -- "Will Canada's Economy Go South?"

    -- "With A Cooling Economy And A Divided Government, Japan
        Faces Some Tough Calls"

    -- "Korea's Economic Growth Is Facing Some Resistance In
        2008"


* Large Companies with Insolvent Balance Sheet
----------------------------------------------

                                      Total
                                   Shareholders    Total
                                      Equity      Assets
  Company               Ticker        (US$MM)     (US$MM)
  -------                ------    ------------   -------
Arthur Lange             ARLA3       (23.61)        52.76
Kuala                    ARTE3       (33.57)        11.86
Bombril                  BOBR3      (472.88)       413.81
Caf Brasilia             CAFE3      (876.27)        42.83
Chiarelli SA             CCHI3       (63.93)        50.64
Ceper-Inv                CEP          (7.77)       120.08
Ceper-B                  CEP/B        (7.77)       120.08
Telefonica Hldg          CITI     (1,481.31)       307.89
Telefonica Hldg          CITI5    (1,481.31)       307.89
SOC Comercial PL         COME       (793.61)       439.83
Marambaia                CTPC3        (1.38)        79.73
DTCOM-DIR To Co          DTCY3       (14.16)         9.24
Aco Altona               ESTR        (49.52)       113.90
Estrela SA               ESTR3       (62.09)       118.58
Bombril Holding          FPXE3    (1,064.31)        41.97
Fabrica Renaux           FTRX3        (5.55)       136.60
Cimob Partic SA          GAFP3       (63.56)        94.60
Gazola                   GAZ03       (43.13)        22.28
Haga                     HAGA3      (114.40)        17.96
Hercules                 HETA3      (240.65)        37.34
Doc Imbituba             IMB13       (20.49)       209.80
IMPSAT Fiber Networks    IMPTQ       (17.16)       535.01
Minupar                  MNPR3       (39.46)       154.47
Nova America SA          NOVA3      (300.97)        41.80
Recrusul                 RCSL3       (59.33)        25.19
Telebras-CM RCPT         RCTB30     (149.58)       236.49
Rimet                    REEM3      (219.34)        93.47
Schlosser                SCL03       (75.19)        47.05
Semp Toshiba SA          SEMP3        (4.68)       153.68
Tecel S Jose             SJ0S3       (13.24)        71.56
Sansuy                   SNSY3       (67.08)       201.64
Teka                     TEKA3      (331.28)       536.33
Telebras SA              TELB3      (149.58)       236.49
Telebras-CM RCPT         TELE31     (149.58)       236.49
Telebras SA              TLBRON     (148.58)       236.49
TECTOY                   TOYB3        (3.79)        38.65
TEC TOY SA-PREF          TOYB5        (3.79)        38.65
TEC TOY SA-PF B          TOYB6        (3.79)        38.65
TECTOY SA                TOYBON       (3.79)        38.65
Texteis Renaux           TXRX3      (103.01)        76.93
Varig SA                 VAGV3    (8,194.58)     2,169.10
FER C Atlant             VSPT3      (104.65)     1,975.79
Wiest                    WISA3      (140.97)        71.37



                            ***********


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.  Marie Therese V. Profetana, Sheryl Joy P. Olano,
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Copyright 2008.  All rights reserved.  ISSN 1529-2746.

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